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Expectations for a major October rally in Bitcoin and altcoins were dashed, as a historic crash occurred on October 11th, triggered by US President Donald Trump’s tariff announcements on China.
Although there have been short-term recoveries in BTC and altcoins since then, volatility still persists in the market.
As investors try to figure out which direction the market will move, crypto analysis platform 10X Research has announced its short-term expectations for Bitcoin (BTC) and Ethereum (ETH).
At this point, 10X Research analysts analyzing options market data stated that a suitable region for selling strategies has formed in the Bitcoin (BTC) options market, while buying opportunities have increased in Ethereum (ETH).
Analysts noted in the report that, based on current options data, Bitcoin’s implied volatility remains higher than realized volatility, making it suitable for a selling strategy.
In contrast, it was stated that Ethereum’s implied volatility fell below realized volatility, creating more opportunities for buyers.
“In the Bitcoin options market, implied volatility remains higher than realized volatility, creating a favorable zone for selling strategies.
In contrast, Ethereum’s implied volatility is lower than realized volatility, increasing buying opportunities.”
Analysts recently stated that Bitcoin investors sold call options to generate premium income, while Ethereum investors purchased put options to hedge against downside risk.
*This is not investment advice.
