10x Weekly Crypto Kickoff – Options Market Turns Neutral as Leverage Builds for Upside
The Week Ahead in Crypto Markets
The report covers derivatives positioning, volatility trends, and funding dynamics across Bitcoin and Ethereum, along with sentiment, technical signals, ETF and stablecoin flows, option activity, expected trading ranges for the next 1–2 weeks, and key upcoming market catalysts.
Why this report matters
The crypto market is steadily recovering from the October 10 crash, with our top post-crash altcoin pick (see October 13 report) up by 20% and likely to extend gains, as BTC and ETH skews show that derivatives markets have priced out most near-term risk. Funding rates point to renewed upside leverage, while ETF inflows will be critical this week to sustain momentum—just as our technical indicators (see October 24 report) anticipated.
Roughly 35% of U.S. market-cap companies (175 out of 500) will report earnings this week, with Wednesday’s releases and the FOMC meeting as key catalysts. The better-than-expected inflation data from last Friday support a continued disinflation trend. In contrast, implied volatility, our core call in last week’s Kickoff report, has indeed dropped sharply as options traders removed downside hedges. On-chain data remains somewhat bearish, but with tactical drivers in control, we continue to trade opportunistically in this environment.
Main data points
Crypto markets grind higher on lower volumes: The Crypto market cap stands at $3.83 trillion, 4.1% higher than the week before, with an average weekly volume of $153 billion, -31% below average. Weekly Bitcoin volume was $56.3 billion, -30% below average, while Ethereum volume was $35.5 billion, -31% below average. Ethereum network fees (0.1 Gwei) are in the 5th percentile, indicating low network usage.