BTC Greeks (Patreon)

Chart is Options data for Bitcoin and its potential impact on the approval of the Bitcoin spot ETF. The post mentions that the highest implied volatility (IV) is for the option expiring on January 12, 2024. This suggests that institutional investors are anticipating significant price movements BEFORE that date.

Implied volatility is a measure of the market's expectation of future price fluctuations in an underlying asset, in this case, Bitcoin. High implied volatility indicates that investors expect larger price swings, which could be due to various factors such as market uncertainty, news events, or regulatory decisions.

The fact that the highest implied volatility is for the option expiring on January 12, 2024, suggests that institutional investors believe that the second week of 2024 will be a critical time for the approval of the Bitcoin spot ETF. This is because the approval or rejection of a Bitcoin spot ETF could have a significant impact on the price of Bitcoin, and the high implied volatility reflects the uncertainty surrounding this event.

h/t to Sanjay for the image