Analysis: Bitcoin derivatives market volatility intensifies on the eve of Trump's inauguration

ChainCatcher news, according to The Block, as President-elect Donald Trump prepares for his second inauguration on January 20, the Bitcoin derivatives market indicates that expectations for volatility are set to increase.

Data from the Derive.xyz derivatives exchange shows signs of bearish expectations in the medium term, with Bitcoin put options rising to 40% of all open contracts on Derive, a significant increase over the past week.

Bitcoin's implied volatility is also climbing, highlighting market uncertainty. Over the past week, Bitcoin's 7-day at-the-money implied volatility rose by 3% to 56.5%, while the 30-day implied volatility increased by 1.5%, currently at 57.5%.