Reading Crypto Volatility, Term Structure, Skew, and Option Flows

Summary

This brief market recap highlights four observations about Bitcoin and Ether derivatives as of November 22, 2022: realized and implied volatility had fallen, the six-month historical volatility spread between ETH and BTC was described as supported, option skew remained elevated but below its earlier peak, and put spreads were being sold. It frames these observations within a recurring review of volatility, term structure, skew, and options flows.

The document offers qualitative market commentary rather than a detailed trading method. It gives no underlying measurements, charts, trade parameters, or performance data, so the claims cannot be independently assessed from the text alone. Selling put spreads is mentioned but not explained; the recap does not specify strikes, expiries, sizing, or risk controls. Its observations are time-specific and should be read as a snapshot of market conditions, not as evidence that the same positioning or volatility patterns persisted afterward.

Key ideas

• The recap reports a decline in realized and implied Bitcoin and Ether volatility.
• It describes the six-month historical volatility spread between Ether and Bitcoin as supported at the time.
• Option skew was still elevated but had eased from its highs.
• Put spreads were being sold, though the recap gives no trade construction or risk details.

Tags

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