ProCap CIO: Bitcoin put option open interest (OI) volume is large at the end of December, implied volatility returns to pre-ETF listing levels.
AI Summary1 min read
TL;DR
Bitcoin's implied volatility has returned to pre-ETF levels, not exceeding 80% since FTX. The largest open interest for Dec 26 options is $1B in $85,000 puts, outweighing call options.
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Halving TokensLayer 1ETFBitcoinImplied VolatilityOptionsOpen Interest
According to Mars Finance, Jeff Park, Chief Investment Officer of Bitcoin Treasury ProCap and advisor at Bitwise, analyzed that Bitcoin's implied volatility has never exceeded 80% since the FTX crash. The closest it came was last March when the spot Bitcoin ETF experienced continuous inflows, but now the indicator has returned to pre-ETF listing levels. Furthermore, data disclosed by Jeff Park shows that among Bitcoin options expiring on December 26th, the $85,000 put option open interest (OI) is the largest, approximately $1 billion, higher than the $125,000 call options ($620 million), $140,000 call options ($950 million), and $200,000 call options ($720 million).