Bybit x Block Scholes Report: Crypto Market Needs More Than Trump’s BTC Reserve
Bybit, the world’s second-largest cryptocurrency exchange, has released its latest crypto derivatives analytics report in partnership with Block Scholes. The report arrives shortly after President Trump signed an executive order to establish a strategic Bitcoin reserve on March 2.
Despite initial optimism, the crypto market has turned cautious, with bearish sentiment creeping in due to macroeconomic concerns and a declining S&P 500. Traders have begun hedging risks, showing growing skepticism around Ethereum (ETH) and Solana (SOL).
Key Takeaways from the Report
📉 Market Sentiment Shifts Bearish – While crypto prices surged after Trump’s BTC reserve announcement, traders have since shifted towards risk mitigation, with rising demand for protective options.
💰 Stable Funding Rates – Despite the rally, funding rates remain moderate, signaling no extreme speculative activity and a balanced demand for long positions.
⚡ ETH Volatility Rises – Ethereum’s realized volatility has exceeded expectations, as bearish sentiment grows due to tariff concerns. Traders are favoring short-term put options, indicating caution in the market.
📊 SOL Open Interest Declines – Although Solana (SOL) was included in Trump’s BTC reserve plan, open interest in SOL has dropped. While call positions still lead, the pace of new positions remains sluggish.
Market Outlook
The crypto market needs a stronger catalyst than Trump’s BTC reserve to sustain bullish momentum. With macroeconomic uncertainty and rising risk aversion, traders are prioritizing hedging strategies over aggressive long positions.
Will the next wave of institutional adoption or regulatory clarity provide the push needed for a sustained rally? Stay tuned for further updates from Bybit and Block Scholes.
For detailed insights, readers may download the full report.
#Bybit / #TheCryptoArk /#BybitResearch
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