The post Crypto Markets Stabilize After December Selloff, Bybit/Block Scholes Find appeared on BitcoinEthereumNews.com.

A new Crypto Derivatives Analytics Report from Bybit, produced in collaboration with Block Scholes, finds tentative but tangible signs that cryptocurrency market sentiment is beginning to recover after a turbulent opening to December. The analysis, which looks at derivatives flows and risk indicators in the wake of December 1’s sharp selloff, paints a picture of cautious optimism: traders are stepping back into the market, but remain far from outright bullish. The selloff on December 1, triggered by hawkish signals from the Bank of Japan, pushed major tokens lower, but the report notes that Bitcoin has since climbed to a two-week high above $93,000 and Ethereum has reclaimed the psychological $3,000 level. Those price moves have been supported by positive catalysts, including Vanguard’s move to open its platform to crypto ETF and mutual fund trading, yet derivatives data show participants are still pricing in caution because large parts of the market remain significantly below their all-time highs. “Cryptocurrencies have been buffeted by multiple crosswinds, from shifting expectations surrounding major central bank policies to mounting concerns over the viability of DATs,” said Han Tan, Chief Market Analyst at Bybit Learn. He added that the market is likely to stay sensitive to macro forces in the immediate term, particularly with a pivotal Federal Reserve interest-rate decision looming and lingering aftershocks from the October 10 liquidation event. From Panic to Pause Derivatives metrics highlight the guarded tone among traders. Options markets have seen a marked reduction in bearish bets: put-call skew premiums, which were running between 10 and 13 percentage points at the start of the month, have narrowed to roughly 2–4 percentage points. That shift suggests traders are demanding far less insurance against a crash than they were only a week ago. At the same time, open interest in perpetual futures has risen…

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Filed under: News - @ December 6, 2025 6:17 am