After a volatile week that saw Bitcoin drop to $19,500, the cryptocurrency has recovered to mid-$24,000 levels, offering traders a chance to take a break. US authorities’ response to high-profile bank collapses and a new bank liquidity program have helped support the cryptocurrency market. Bitcoin’s wild swings have led traders to anticipate more volatility, as shown by the rising Deribit’s Bitcoin Volatility Index and implied volatility. While options markets have reverted to a neutral view on Bitcoin, the ratio between put and call options on Deribit indicates more bearish sentiment.
