Gate Research: Implied Volatility Remains Elevated as Gate Exclusively Launches Options Recurring Sell

Options Market Dynamics

Latest data shows BTC IV at 46% and ETH IV at 70%, both slightly lower than last week but still in elevated ranges, reflecting reduced expectations of extreme volatility while most market participants remain bullish.

From the skew structure perspective, BTC 25-Delta Skews across maturities converged around -5 vol this week. ETH’s skew structure diverged, indicating rising short-term hedging demand. ETH forward skew remains stable, suggesting limited concern over medium- to long-term downside risk; in contrast, BTC’s forward structure remains relatively steep, consistent with its short-term pattern, reflecting sustained demand for long-term downside protection.

Block Trade Highlights

Large trades in the BTC and ETH options markets were dominated by call spreads. The largest trades this week were:

• BTC: Bought BTC-131225-90000-P and sold BTC-131225-98000-C, totaling ~1,000 BTC, with ~ $170,000 in net premiums paid.
• ETH: Bought ETH-261225-4800-C, totaling ~13,000 ETH, with ~ $50,000 in net premiums paid.

Platform Update

Gate exclusively launches a simplified options trading tool — the Rolling Covered Option Product,assisting users in automatically and continuously selling options within a preset period. Users can customize Delta/Strike execution, expiration dates (T+1/T+2/T+3), selling price methods, quantity, and optional take-profit/stop-loss settings. Positions open automatically every day at 9:00 (UTC) and seamlessly roll over upon expiration, achieving full automation. The tool also provides clear risk indicators, margin estimates, and projected trade paths to help users manage strategy execution more intuitively.

Product Details: https://www.gate.com/help/other/options/48493