Investigating Bitcoin Market Crashes With Option Probabilities
www.research.ledgerprime.com
This research piece was conducted in conjunction with @epsilonsized and @tristan0x from Zeta Markets, a cutting-edge DeFi options platform built on Solana. Whether it be scanning through an early stage token’s Discord server for alpha leaks or studying on-chain ETH data, the best crypto investors rely on some form of data analysis in their investment decision process. Given these two methods are already quite well known, we wanted to explore a novel signal extracted from the crypto options market and determine whether it contains any useful insights. The purpose of this research piece is to derive the theoretical implied probabilities from Deribit’s BTC option prices and analyze whether we can use this rarely used signal in the alpha generation process.
Investigating Bitcoin Market Crashes With Option Probabilities
Investigating Bitcoin Market Crashes With…
Investigating Bitcoin Market Crashes With Option Probabilities
This research piece was conducted in conjunction with @epsilonsized and @tristan0x from Zeta Markets, a cutting-edge DeFi options platform built on Solana. Whether it be scanning through an early stage token’s Discord server for alpha leaks or studying on-chain ETH data, the best crypto investors rely on some form of data analysis in their investment decision process. Given these two methods are already quite well known, we wanted to explore a novel signal extracted from the crypto options market and determine whether it contains any useful insights. The purpose of this research piece is to derive the theoretical implied probabilities from Deribit’s BTC option prices and analyze whether we can use this rarely used signal in the alpha generation process.