Reading Bullish Signals in Bitcoin and Ether Options Markets

Summary

This dated market note interprets options and perpetual swap indicators for Bitcoin and Ether. It reports that, despite slower spot price movement, options risk reversals had shifted toward out-of-the-money calls, with positive call skew across tenors. It also describes higher short-dated at-the-money implied volatility, particularly around the one-month area, and says perpetual swap funding fluctuated while remaining strongly positive during the week. The authors connect the near-term volatility repricing with positioning around the approaching US election.

The evidence is a snapshot of market commentary and references volatility surfaces, constant-maturity smiles, and 25-delta risk reversals, but the underlying charts and numerical series are not included in the text. These indicators can describe demand for upside optionality, hedging pressure, and event risk; they do not establish that prices will rise or provide a tested trading rule. The observations are specific to the report date, and the document cautions that its analysis may change and is not investment advice.

Key ideas

• The note reports positive call skew in Bitcoin and Ether options across tenors.
• Short-tenor at-the-money implied volatility had increased, with a notable move near one month.
• Perpetual swap funding was volatile but remained strongly positive during the reported week.
• The report associates election proximity with changes in near-term options positioning.
• Options skew and funding describe market positioning but do not guarantee a directional outcome.

Tags

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