Bybit Hack Unruffled, Traders Eye SOL ETF

Crypto Daybook Americas: Bybit Hack Fails to Ruffle Feathers, Traders Eye SOL ETF

The recent $1.5 billion hack of Bybit, one of the top cryptocurrency exchanges, has failed to significantly impact the market, with both Bitcoin and Ether remaining within their recent trading ranges. Perpetual funding rates for both assets are positive, indicating a bias for long positions that benefit from price rises. Bitcoin options trading on Deribit show a bullish bias for call options across all time frames, while those tied to Ether show a downside bias into March.

Volatility has also decreased, with the 30-day Bitcoin implied volatility index dropping to an annualized 48.45%, the lowest since July. Ether's implied volatility has reversed the minor weekend spike from 67% to 70%. QCP Capital, a trading firm, attributes this calm to the growing maturity of the crypto landscape, particularly in the crypto credit market.

The crypto community is reassured by Bybit's ability to manage over $6 billion in withdrawals following the hack and its replenishment of ETH reserves. All eyes are now on Solana's SOL, as Franklin Templeton, one of the world's largest asset management firms, has submitted a spot SOL ETF proposal to the SEC. Additionally, 11.2 million SOL (2.3% of total supply) from the FTX estate are scheduled to be unlocked on March 1, which could breed market volatility.

In traditional markets, the yen continues to gain ground against the U.S. dollar and growth-sensitive commodity currencies such as the Australian dollar, calling for caution on the part of risk asset bulls. Stay alert