10x Research: The Bitcoin options market has long predicted this round of correction, and short-term volatility may continue

ChainCatcher news reports that, according to a 10x Research report, the Bitcoin options market had already issued warning signals prior to the recent price pullback.

Data shows that the short-term options volatility curve is steep, indicating an increase in investors' demand for hedging near-term risks, while long-term expectations remain relatively stable. Since the liquidation event, the options skew has significantly shifted towards bearish, reflecting an increase in demand for put options and hedging activities. The report points out that the current implied volatility of Bitcoin is still higher than the actual volatility, favoring seller strategies; while the implied volatility of Ethereum has fallen below the actual volatility, increasing opportunities for buyers. Trading flows indicate that Bitcoin investors are selling call options to realize profits, while Ethereum traders are defensively buying put options. 10x Research believes that opportunities to capture time decay and volatility reversion can be seized by shorting Bitcoin short-term options volatility and positioning for long-term Ethereum exposure.