Ethereum surged 29% this week, breaking a 10-week downtrend and catching short sellers off guard with $400M liquidated. 

The S&P 500 extended its rally with a nine-day winning streak, its longest since 2004, as optimism over potential trade deals and upcoming Fed and earnings updates lifted sentiment. Gold rose to $3,245 on trade uncertainty and Fed rate cut hopes. CoinDesk Indices, which tracks the broader crypto market, fell 1.50% in the past 24 hours, while Bitcoin and Ether dropped 0.10% and 0.51%, respectively. Trade these markets and more with up to 500x leverage on Bybit MT5 using this 

Today's top performer is AI16Z, which surged 7.0% after Bonsai's smart media protocol integrated with Eliza to empower agent-driven social content creation.

elizaOS (AI16Z), launched in October 2024, formerly ai16z, is a Solana-based DApp that uses a DAO and an AI agent, "Marc AIndreessen," to manage community-driven investments in tech and crypto projects. 

, lets developers create agent-driven social media scripts and templates using ElizaOS plugins. The Bonsai Client, its first implementation, enables easy deployment of these smart media agents on platforms like Lens. Builders can explore these tools and compete for prizes in the Lens Spring Hackathon.

Check out the latest prices, charts, and data of 

Ethereum surged 29% this week, breaking a 10-week downtrend and catching short sellers off guard with $400M liquidated. Despite muted ETF flows and neutral derivatives sentiment, ETH’s dominance remains unshaken—boasting $64B in TVL, dwarfing Solana, BNB Chain, and Tron combined. With fresh momentum from the recent pectra upgrades and Trump distancing from rival altcoins, all eyes are now on a potential push toward $2,700. 

BTC spot ETFs saw $920.9M in net inflows this week, driven by $1.09B into non-GBTC funds despite $171.5M outflows from GBTC. Since inception, total net inflows stand at $41.1B.

 are now live and claimable as a small bonus for users farming the upcoming Aster (AST) airdrop. By depositing BNB to mint asBNB, users can start earning points toward both the main airdrop and future ecosystem rewards. Optional perp trading can boost points further, but simply holding asBNB is enough to qualify.

Beginner

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Ethereum outperforms with a 20% rally as fresh capital flows in and undervaluation signals flash

Our monthly report delves into insights from options volatility to inspire your next crypto move.

: April 2025 saw BTC's implied volatility surge above 75% due to tariff chaos, but it collapsed to 35% within a week, indicating a surprising short-term drop in volatility expectations despite ongoing macro uncertainty.

: BTC's return above $100K was met with muted enthusiasm in the derivatives market, suggesting that 

traders no longer view this level as a significant psychological barrier, and the rally isn’t likely to be sustained.

: ETH significantly outperformed BTC with a 23% rally, leading to increased demand for short-dated calls and a positive shift in the options market, highlighting renewed bullish sentiment.

: Historical trends suggest a potential summer lull in volatility in store for BTC, raising questions about whether this pattern will repeat in 2025 amidst ongoing macroeconomic challenges.

Bitcoin’s volatility plunges in late April

April 2025 witnessed significant volatility in the cryptocurrency market, particularly influenced by US trade policies. As President Trump announced steep reciprocal tariffs, the crypto landscape experienced sharp fluctuations. Bitcoin (BTC) initially demonstrated resilience, despite widespread sell-offs in equities and the US dollar, only to succumb to a decline from $88K to $75K by early April. This period was characterized by a dramatic rise in implied volatility that peaked above 75% as traders sought protection through short-dated puts. However, as the tariffs faced moderation, implied volatility plummeted to 35% by mid-April, marking the lowest level since early March.

Interestingly, while short-tenor volatility collapsed, 

the back end of BTC's term structure remained elevated, signaling that market participants expect heightened volatility in the mid-term

. Amidst this backdrop, realized volatility fell below the five-year seasonal average, paralleling similar trends in previous years and suggesting a 

. The historical pattern contrasts that BTC often experiences a rebound in volatility heading into May, raising questions about whether this trend will persist.

Subdued derivative response suggests Bitcoin rally might not endure

The market's reaction to BTC's resurgence above the $100K threshold was notably subdued compared to previous instances. While BTC rallied 20% following the initial tariff sell-off, the derivatives market displayed a muted response. The 25-delta put/call skew, a measure of market sentiment, indicated only a slight bias toward out-of-the-money calls, contrasting sharply with sentiment previously when BTC first breached the $100K mark in December 2024. This lack of exuberance suggests that traders no longer view $100K as a significant inflection point, raising concerns about the sustainability of the rally. 

Meanwhile, funding rates and implied volatility — though still bullish — didn’t reach the extremes observed in earlier months, indicating more cautious market sentiment. The relationship between BTC's spot price and implied volatility suggests that although traders are optimistic, they’re waiting for BTC to approach previous all-time highs before adjusting their volatility expectations.

Ethereum's option data points to further rally

In stark contrast to BTC, Ethereum (ETH) displayed remarkable resilience and outperformed major cryptocurrencies, gaining 23% overnight following favorable trade news. This rally catalyzed a surge in demand for short-dated calls, pushing front-end volatility expectations significantly higher. The response from the derivatives market was robust, inverting the term structure and indicating renewed bullish sentiment toward ETH, even as it’s trading well below its all-time high.

The ETH options market exhibited a shift from neutral to slightly negative skew, to a 10% bias favoring out-of-the-money calls, reflecting the market's confidence in ETH's potential to regain lost ground. Despite overall macroeconomic uncertainty, the demand for ETH options suggests that traders are optimistic about Ether’s future price movements.

In conclusion, April 2025 highlighted the complex interplay between macroeconomic factors and cryptocurrency market dynamics. While BTC faced challenges in eliciting strong responses from derivatives markets upon recrossing the $100K threshold, ETH's performance indicated a divergence in market sentiment. As traders navigate the evolving landscape, the potential for seasonal volatility patterns and the influence of macroeconomic developments will remain critical factors in shaping future market expectations.

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Bybit X Block Scholes options volatility report (April 2025): Data suggests Bitcoin rally might not endure, but Ether sees further upside

Our weekly crypto derivatives analytics report delves into macro events; the current state of crypto and trading signals from spot trading volume; and futures, options and perpetual contracts.

After mostly trading sideways at the end of April 2025, a US-UK trade deal sparked a crypto rally. BTC surged past $100K for the first time since February, but it’s ETH's performance that captured the derivatives market's attention. 

A 23% increase in ETH's spot price led to an inverted term structure and a spike in front-end volatility. The put/call skew for ETH shifted from a bearish bias to a nearly 10% skew toward OTM calls. Other sentiment indicators, such as perp funding rates and futures yield, also supported the rally. In contrast, while BTC's funding rates and skew have increased, its implied volatility remains low at 40%, over 30 points below ETH's 7-day implied volatility.

Please check out the report’s highlights.

ETH’s record performance since 2021 was propelled by positive term structure

ETH has significantly outperformed BTC and the top 10 cryptocurrencies, marking its largest single-day gain since May 2021. The options market has reflected this enthusiasm, with implied volatility for short tenors rising sharply and inverting ETH’s term structure, thus contrasting with BTC's muted, positively sloped structure. The 7-day tenor for ETH is now trading at a 33-point premium over that for BTC. 

While puts dominate BTC's open interest, ETH is seeing the opposite trend. On May 8, 2025, options volumes surged over $120M, more than double the typical monthly volume, with $60M more in calls than puts. ETH now boasts a positive futures curve and funding rates, as well as a strong skew toward OTM calls.

ETH sees exceptionally bullish put/call skew

ETH's substantial outperformance in the current crypto rally has led to bullish sentiment in its derivatives markets. Funding rates have surged, futures yields are strongly positive and the put/call skew has shifted significantly toward OTM calls, now close to 10%. This starkly contrasts with early April, when the skew was 20% toward OTM puts. Although ETH has underperformed (relative to BTC and other "ETH killers"), it has rebounded in this rally, with the ETH/BTC ratio rising after spending most of the year declining.

Open interest for Bitcoin options increased, with implied volatility remaining suppressed

The announcement of the new US administration's first trade deal, nearly 30 days into Trump's 90-day tariff pause, jolted crypto markets, pushing BTC back up above $100K. Surprisingly, implied volatility has remained suppressed, failing to invert BTC's term structure, with front-end volatility trading at around an 18-month low of 35-40%. On May 8, 2025, options volumes surged, with call volume reaching $189M, reversing last week's trend of higher put volumes. Meanwhile, open interest rose steadily to exceed $300M, the highest level this month, but remains significantly larger for puts than for calls despite the price increase.

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Bybit X Block Scholes crypto derivatives analytics report (May 9, 2025): Ether’s put/call skew turns remarkably more bullish than Bitcoin’s

This article explores how Sign works, its flagship products (such as TokenTable, SignPass and EthSign), its native token (SIGN) and how to trade SIGN on Bybit.

Sign is an omnichain attestation infrastructure that empowers users and developers to verify real-world claims on-chain. Built for a more transparent and decentralized future, it eliminates the need to “just trust” and enables everyone to verify with cryptographic proof.

This article explores how Sign works, its flagship products (such as TokenTable and EthSign), its native token (SIGN) and how to trade SIGN on Bybit.

 is an omnichain attestation protocol designed to make it easy for anyone to verify the authenticity of any claim — 

. Whether it’s a document, credential or user identity, Sign transforms traditional trust models into verifiable, cryptographic attestations. 

Sign’s mission is to replace outdated, opaque validation systems with transparent, 

 proof — enabling a future where “verify” replaces “trust.” Through tools like schema registries and digital signatures, Sign empowers users to bring accountability and integrity to digital interactions.

Sign is developed by the team behind EthSign, a 

-native e-signature and agreement platform. Its core team brings deep experience in 

 development and cross-chain integrations.

The project is backed by top-tier investors, including Sequoia Capital China (now known as HongShan Capital Group), Mirana Ventures, HashKey Capital and Hack VC.

This strategic funding positions Sign as a foundational layer in the web3 infrastructure stack.

Sign allows users to create attestations — cryptographically signed statements that prove the validity of claims, such as credentials, achievements or actions. These digital proofs can be verified by anyone at any time, making them tamperproof and transparent.

Sign’s key technical elements include a schema registry that ensures consistent data formatting, digital signatures proving authenticity, and on- and off-chain attestations with support for revocation or updates

This system acts like a programmable layer for web3, bringing a new level of trust to identity, credentials and data exchange.

TokenTable is Sign’s flagship token distribution platform. It helps projects unlock, distribute and manage tokens transparently and securely at scale.

It uses Sign’s attestation engine to verify token unlocks, 

 and vesting schedules, ensuring traceable, auditable token flows.

SignPass is a blockchain-based identity solution that brings real-world credentials on-chain. One notable implementation is the Sierra Leone PR Card, used for the world’s first government-approved on-chain permanent residency program.

SignPass offers encrypted on-chain records for easy 

 verification, physical ID issuance for daily identity use and streamlined digital application systems for cross-border access.

It showcases the way blockchain can modernize public sector services worldwide.

EthSign is a decentralized contract signing platform that lets users create, sign and store legally binding agreements directly on-chain. It removes intermediaries and ensures documents are immutable and accessible.

EthSign reinforces Sign’s mission by bringing traditional documentation into the realm of verifiable web3 attestations.

The SIGN token is the native utility token powering the Sign ecosystem. It’s used for:

The total supply is capped at 10 billion SIGN, with 1.2 billion tokens in circulation. While the fully diluted valuation (FDV) sits above $746 million as of May 7, the circulating market cap is approximately $89.6 million. SIGN continues to gain traction across exchanges and developer networks.

SIGN is available for trading on Bybit via Spot trading and as a USDT Perpetual contract. Bybit offers up to 75x leverage for the SIGNUSDT Perpetual contract and supports secure, high-liquidity spot trading.

Start exploring the future of attestations with SIGN on Bybit today.

Intermediate

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Sign (SIGN): Web3 protocol for trustless attestation

Crypto

Investing

What is crypto bubble? Learn how crypto bubble can affect the industry as a whole and the valuation of Bitcoin and altcoins.

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The realm of cryptocurrencies has been nothing short of a roller-coaster ride, with astonishing surges and jaw-dropping crashes becoming the norm. In recent years, the term "crypto bubble" has been thrown around with increasing frequency, leaving investors and skeptics pondering the fate of digital crypto assets.

This article explores the current state of the cryptocurrency market, mainly focusing on Bitcoin and its historical patterns and notable crashes and the fundamental factors contributing to its price volatility. By shedding light on these facets, we can better discern whether we are indeed trapped in a crypto bubble or witnessing the evolution of a groundbreaking financial landscape.

Understanding Bitcoin: The Pioneer of Cryptocurrencies

Bitcoin, launched in 2009 by the pseudonymous 

, is the pioneer and enduring symbol of the cryptocurrency revolution. At its core, 

 that operates on a groundbreaking technology known as 

. This technology ensures transparency, security and immutability by recording all transactions in a distributed and publicly accessible ledger.

Bitcoin's unique value proposition lies in its ability to function as a decentralized and censorship-resistant medium of exchange. Traditional currencies are controlled by central banks and governments, subject to inflation and manipulation. In contrast, Bitcoin has a fixed supply cap of 21 million coins, making it naturally deflationary. This scarcity has fueled its allure as a store of value, and its reputation as "digital gold."

The underlying technology of blockchain guarantees the integrity of Bitcoin transactions, which are grouped into blocks and cryptographically linked, creating an unbroken chain of records. This design thwarts tampering and ensures that historical transactions cannot be altered, establishing a high level of trust in the system.

Bitcoin's decentralized nature also means it's not tied to any government or financial institution. Users can send and receive payments globally without intermediaries, making cross-border transactions more efficient and accessible. This capability has significant implications, especially for individuals in regions with limited access to traditional banking services.

However, Bitcoin has faced criticism due to its energy-intensive mining process and price volatility. The process of validating transactions, known as 

 requires significant computational power and energy consumption, raising 

. Moreover, Bitcoin’s value has experienced extreme fluctuations, with soaring highs and crashing lows, making it a subject of speculation as much as it is a stable means of crypto exchange. Nonetheless, Bitcoin's role in sparking the broader cryptocurrency movement cannot be overstated.

Bitcoin has paved the way for over twenty thousand other cryptocurrencies and laid the foundation for developing blockchain technology for various applications beyond digital currencies, including supply chain management, voting systems, gaming and more.

The Bitcoin Bubble: A Historical Analysis

Dramatic price fluctuations and subsequent recoveries, indicative of bubble-like behavior, punctuate Bitcoin’s history. The first significant bubble occurred in 2011, when Bitcoin's price surged from a few cents to over $30, only to crash back down shortly after.

This early episode demonstrated the extreme volatility inherent in the cryptocurrency market, and foreshadowed future patterns. The infamous Bitcoin bubble of 2017 is one of the most notorious. During this period, Bitcoin’s price soared to unprecedented heights, reaching nearly $20,000 in December 2017.

The allure of quick profits drew in hordes of investors, both seasoned and novice, triggering a speculative frenzy. However, this euphoria was short-lived, as the bubble burst, leading to a sharp price decline.

Many investors were left reeling from the aftermath, leading to debates about the inherent nature of cryptocurrencies and whether they’re a legitimate investment — or merely a speculative gamble.

In 2017, Bitcoin’s unraveling bubble resulted from a confluence of factors that laid bare the vulnerabilities of an emerging and rapidly evolving market. The period leading up to the 2017 bubble was characterized by heightened media coverage, growing public awareness and an influx of new investors.

 (fear of missing out) and a sense that cryptocurrencies were a new asset class with limitless potential. However, the bubble burst in early 2018, and Bitcoin's price plummeted, losing over 80% of its value within a year. 

Several factors contributed to this crash. Foremost among them was the regulatory uncertainty surrounding cryptocurrencies. Governments grappled with classifying and regulating these digital assets, injecting an element of instability into the market. Fear of government crackdowns on cryptocurrencies caused panic selling. 

 (ICOs), many of which became scams or unsustainable projects, eroding trust in the market.

In addition, the absence of established valuation metrics for cryptocurrencies made it difficult to ascertain their intrinsic value, rendering the market susceptible to volatile emotional shifts. 

Finally, the 2017 bubble revealed the prevalence of market manipulation in which coordinated efforts artificially inflated prices.

Despite the crash, Bitcoin demonstrated its resilience by rebounding from the depths of the bear market. The subsequent decade and a half has seen the maturation of the cryptocurrency ecosystem, with increased regulatory clarity and 

As we survey the current landscape, the question looms large: Are we currently trapped in a crypto bubble? The answer isn’t simple, as the crypto market is a complex interplay of technology, economics and psychology.

While segments of the market undoubtedly exhibit bubble-like behavior, such as 

 (non-fungible token) mania and the rapid rise of meme coins, it’s essential to distinguish between short-term speculative hype and the long-term potential of blockchain technology.

Many experts argue that the current influx of institutional interest and the integration of cryptocurrencies into mainstream finance signify a maturing market. Established companies and financial institutions are embracing cryptocurrencies as legitimate assets, lending credibility to the industry. However, the market's historical volatility and the lack of standardized valuation metrics still create an environment prone to bubbles.

Several indicators suggest that the cryptocurrency market might be in a bubble-like state. One prominent sign of a crypto bubble is an exponential and parabolic price rise over a short period. When the price of a particular cryptocurrency skyrockets without a corresponding increase in its utility, adoption or underlying technology, it suggests that investor enthusiasm and FOMO are driving the surge, rather than genuine market fundamentals. Such unsustainable growth is often a red flag of an impending bubble burst.

Media hype and sensationalism also play a role in inflating the bubbles. When mainstream media outlets start featuring stories of ordinary individuals amassing fortunes through cryptocurrency investments, it can attract new investors hoping to replicate those gains. This influx of uninformed investors can drive up demand without a commensurate increase in the cryptocurrency's value or utility, setting the stage for a bubble and its inevitable burst.

If the price of a cryptocurrency becomes detached from the actual problems it aims to solve or the technological advancements it offers, it could indicate that speculative trading is dominating the market. Technological progress, adoption and utility influence prices in a healthy market.

However, ICOs and unsubstantiated projects can also contribute to forming a crypto bubble.

During periods of excessive speculation, projects with little to no viable product or real-world use case can raise substantial funds from eager investors. These projects often lack a solid foundation and may eventually fail to deliver on their promises, leading to a collapse in value.

Social media platforms like Twitter, Reddit and various online forums can become echo chambers of excitement and speculation, further fueling the bubble mentality. When a community becomes more focused on price predictions and quick profits rather than a technology's potential, it can indicate an impending bubble.

The Impact of Crypto Bubbles on the Market

The impact of bubbles on the market is multifaceted, and can have far-reaching consequences. 

First, these bubbles attract seasoned investors and newcomers, drawn by the allure of quick and massive profits. As prices surge, media attention intensifies, further fueling the hype and attracting more investors. However, when the bubble bursts, panic can ensue, leading to a rapid selloff that exacerbates the price decline.

The bursting of crypto bubbles can also erode public trust in cryptocurrencies and their underlying blockchain technology. When individuals witness extreme volatility and losses, they may associate the entire crypto space with instability and fraud, impeding the broader adoption of legitimate blockchain projects and innovations.

Furthermore, regulatory scrutiny often follows major crypto bubble bursts. Governments and financial institutions may feel compelled to step in to protect investors and maintain the financial system's stability. This can result in increased regulatory measures, such as stricter controls on exchanges, initial coin offerings (ICOs) and other crypto-related activities.

The digital asset space doesn’t confine the impact of bubbles, as it can spill over into traditional financial markets. Large-scale losses in cryptocurrencies can lead to risk aversion among investors, triggering a flight to safety in more established assets like stocks, bonds and commodities.

Additionally, investment funds and institutions exposed to cryptocurrencies may suffer losses that affect their overall portfolio performance, contributing to market-wide volatility.

Investors navigating the volatile waters of the cryptocurrency market can employ several strategies to mitigate the risks associated with crypto bubbles.

Spreading your investments across different cryptocurrencies can help mitigate risk. While diversification may not entirely shield you from losses, it can soften the blow by minimizing your exposure to a single asset's downfall.

In a frenzied market, getting swept up in excitement and investing based on speculation is easy. Nevertheless, 

. Understand the technology behind the cryptocurrencies you're considering, assess their real-world applications and evaluate the teams and communities supporting them. This will enable you to make informed decisions, instead of following the crowd.

Define your investment goals and establish both 

 that can cloud judgment during volatile times. Having predetermined thresholds will help you stick to your strategy and prevent impulsive decisions.

FOMO can lead to reckless investments driven by the fear of missing out on potential gains. While it's tempting to jump onto the latest hype train, consider the sustainability of a project and its long-term potential. A more measured approach can save you from a bubble burst.

Monitoring market news and trends is essential, but avoid overreacting to every piece of news. Rumors and unverified information can influence market sentiment. Make decisions based on credible sources and a comprehensive understanding of any given situation.

Cryptocurrency markets are known for extreme price swings. Mentally prepare yourself for the possibility of both significant losses and gains. Keeping your emotions in check during such times is crucial for making rational decisions.

Speculative trading can be tempting, but long-term investments often yield better results. Focus on projects that have real-world use cases, strong fundamentals and a dedicated team. Short-term volatility becomes less concerning when your investment is built on solid ground.

Only invest what you can afford to lose. Avoid using funds that are crucial for your daily life or emergencies. Crypto markets can be unpredictable, and it's important not to put yourself in a financially precarious position.

Surviving a crypto bubble requires knowledge, self-discipline and a resilient mindset. By following the above guidelines, investors can navigate the turbulent waters of the cryptocurrency market with a greater chance of protecting their investments and capitalizing on long-term growth opportunities.

The Future of Cryptocurrencies and Potential Bubbles

The crypto market's history has shown that bubbles are a recurring phenomenon, often driven by a complex interplay of factors, including investor psychology, market dynamics and regulatory changes.

However, bubbles don’t negate the potential for meaningful, long-term value creation within the cryptocurrency and blockchain space. As the market matures and regulators better understand the technology, the focus may shift from short-term speculation to sustainable innovation.

The concept of "crypto winter" is also relevant in this context. After a bubble bursts, the market often enters a prolonged period of bearish sentiment, and prices decline. However, phases of renewed growth and innovation have historically followed these periods. Learning from the lessons of past bubbles, investors and stakeholders can work to create a more robust and resilient crypto ecosystem that can withstand the shocks of speculative excess.

Unmasking the Truth: Are We Currently Trapped in a Crypto Bubble?

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