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BTC and ETH Options Market Trends and Volatility Strategy Research

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Summary

This announcement summarizes a report built around four years of Bitcoin options data, with Deribit as its main market reference, and discusses Ethereum options as well. It reports that in 2022 ETH options exceeded BTC options in volume and open interest for the first time, institutional ETH options block activity rose by more than 300%, and ETH monthly volume grew while BTC activity did not materially surpass its January 2021 highs. It also describes a change in the observed relationship between BTC spot prices and volatility across 2021 and 2022.

The report says its researchers tested systematic volatility approaches including straddles, butterflies, and risk reversals, and found a backtested long put-leg strategy. However, this source is a promotional announcement rather than the analysis itself: it gives no trade rules, return figures, risk measures, or methodology for assessing the strategy. Its market observations are tied to the period covered and should not be treated as current conditions or proof of future profitability.

Key ideas

  • The announced research examines four years of BTC options data, primarily from Deribit, and also discusses ETH options.
  • The release reports that ETH options overtook BTC options in volume and open interest during 2022.
  • The researchers say they assessed straddles, butterflies, and risk-reversal strategies.
  • The announcement mentions a profitable backtest involving long put exposure but omits its rules and results.

Tags

CryptoOptionsVolatilityDerivatives pricingBacktesting

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.