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CF Benchmark: Options traders expect bitcoin price to adjust in the short term

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2024-05-16 16:02:33
According to CF Benchmarks' analysis of Chicago Mercantile Exchange (CME) bitcoin futures and options, despite yesterday's weak U.S. CPI inflation report, investors are already prepared to pay a premium for short-term downside protection, with options traders expecting a near-term correction in bitcoin prices.
CF Benchmark analysts said that while bitcoin broke through the $66,000 mark yesterday, "the implied volatility of out-of-the-money puts remains high compared to calls", and the volatility curve between long-term and call options is "flatter", while calls are slightly skewed, indicating that investors are more optimistic about bitcoin's long-term prospects.
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