QCP: Bitcoin volatility is expected to remain high, with implied volatility leaning bearish.
TL;DR
Bitcoin has fallen sharply, breaking key support levels and turning sentiment bearish. High volatility is expected, with implied volatility above 50 showing a put option bias.
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On November 17th, QCP Capital posted on social media that "Bitcoin has almost wiped out all of its gains this year, falling 27% from its high and closing below $100,000 for the first time since May. With the 50-week moving average broken, market sentiment has turned sharply bearish, and all eyes are on the $92,000 support level and the $88,000 CME gap, watching for signs of a short-term rebound."
Macroeconomic headwinds remain strong, with the US government releasing reopening data and other long-delayed information this week. Volatility is expected to remain high, with Bitcoin's implied volatility above 50, indicating a clear bias towards put options.