Apr 14, 2025: Our weekly Institutional Insights explores the latest market developments — market performance, industry news, exchange-traded fund (ETF) flows, trending topics, upcoming events and token unlocks — to help you supercharge your crypto trading.

 explores the latest market developments — market performance, industry news, exchange-traded fund (ETF) flows, trending topics, upcoming events and token unlocks — to help you supercharge your crypto trading.

Weekly highlight — Apple exemptions send crypto higher 

US president Donald Trump’s administration recently exempted smartphones, computers and other electronics from reciprocal tariffs, providing significant relief for major technology manufacturers like Apple and NVIDIA. This move, announced by US Customs and Border Protection, limits the impact of Trump’s 125% tariff on goods from China and baseline 10% global tariff affecting many countries.

The exclusions cover popular electronics, such as smartphones, laptops, hard drives and memory chips, typically not domestically produced. This decision is welcome news for consumers who feared rising prices due to potential tariffs. It also benefits major tech companies that have made substantial investment pledges in the US domestic markets to the Trump administration.

The tariff reprieve marks a noteworthy easing in Trump's trade conflict with China, effective retroactively from April 5. White House Press Secretary Karoline Leavitt emphasized that America must not depend upon China for critical technologies, highlighting the president's efforts to secure substantial investments from leading tech firms to bolster domestic manufacturing. 

However, the reprieve may be temporary. The exclusions stem from an initial order designed to prevent cumulative tariffs on specific sectors. While certain semiconductor manufacturing equipment is excluded, the announcement doesn’t cover the 20% tariff targeting China, aimed at addressing fentanyl shipments.

Analysts note that while this exemption is a win for the tech industry, uncertainty remains regarding future tariffs. The administration is poised to further investigate semiconductor imports, potentially leading to new tariffs in the coming weeks. As negotiations evolve, other countries may seek similar exceptions, complicating the trade landscape. 

Overall, while this announcement offers temporary relief, the future of tariffs remains uncertain as the administration continues its aggressive trade policies.

Weekly crypto highlight — Bitcoin has its role to play amid volatility

The concept of "safe haven" assets, traditionally represented by gold and government bonds, is being challenged in today’s volatile markets. For decades, investors relied on a classic portfolio structure of 60% equities and 40% bonds, with capital flowing into gold and government bonds during market downturns. These assets were seen as stable and reliable, ideal for safeguarding against volatility. However, in a world marked by constant market activity, geopolitical unrest and rising skepticism toward governments, the definition of a safe-haven asset may require reevaluation.

Enter Bitcoin, a highly volatile and often misunderstood asset. Despite skepticism from many investors, Bitcoin has significantly outperformed traditional safe-haven assets since the COVID-19 market lows, rising over 1,000% since March 2020. In contrast, long-duration bonds have dropped by 50%, and gold, while up 90% over five years, appears less impressive when adjusted for monetary inflation.

However, Bitcoin's status as a safe haven remains debated. During various risk-off events, it’s behaved more like a high-beta asset than a protective hedge. For instance, in March 2020, BTC fell 40%, while the Nasdaq-100 dropped 27%. But during the recent tariff-led sell-off in April 2025, Bitcoin held up better than the Nasdaq-100, suggesting emerging strength.

Non-sovereign assets like Bitcoin could thrive amid geopolitical tensions, given their decentralized, censorship-resistant nature. Traditional safe havens like gold and long-duration bonds are losing their luster, with gold’s gains overshadowed by monetary expansion and rising yields on Treasury bonds.

As Bitcoin continues to demonstrate resilience, it may challenge the notion of what constitutes a safe haven. While it may not fit the classic definition of a low-volatility asset, its durability, neutrality and liquidity make it increasingly relevant in today’s financial landscape. Thus, the traditional playbook for safe-haven assets may need an update.

Advanced

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Weekly Institutional Insights: Apple exemptions send crypto higher; Bitcoin’s role to challenge gold

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 initially resisting US president Trump’s “Liberation Day” tariffs, crypto markets joined the global sell-off, with BTC falling from $87K on April 2 to a low of $74K. BTC’s term structure was inverted again before easing, while ETH’s term structure remained inverted. Meanwhile, short-term BTC volatility skews favored OTM puts, reflecting more bearish sentiment than during the Q1 2023 US banking crisis. However, volatility levels decreased after Trump announced a 90-day pause on tariffs (excluding those on China), leading to a significant rally in spot prices.

Please check out the report’s highlights.

BTC open interest declined substantially this week

Bybit’s largest perpetual swap markets initially remained stable during the broader market sell-off and tariff reactions, recovering from the dip after the 

. However, Trump’s recent announcement and subsequent pause of near-unilateral import tariffs significantly impacted these markets, leading to notable declines in open interest for BTC and ETH, which have fallen sharply from their late March highs.

After a brief period of positive funding rates, BTC’s perpetual swap market fluctuated between positive and negative sentiment, indicating traders were hesitant to commit to a strong directional move (similar to trends in options markets). This changed when President Trump announced a 90-day tariff relief, leading to positive jumps in funding rates. Altcoins displayed a similar pattern, with funding rates alternately positive and negative before rising following the tariff announcement.

During the April 6–7, 2025 sell-off, traders sought downside protection, as BTC's spot price fell to $75K in reaction to President Trump’s tariff announcement. The high volume of put options relative to calls indicates strong demand for this protection. Meanwhile, the US's reciprocal tariffs caused a significant inversion in BTC’s at-the-money volatility term structure, which, although it has eased, remains inverted. Additionally, there‘s a stronger skew toward OTM puts at short tenors as compared to the March 2023 US banking crisis. Put open interest has surged over the past week, reflecting extremely bearish sentiment for both the near and long terms.

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Bybit X Block Scholes crypto derivatives analytics report (Apr 9, 2025): Tariffs bring substantial volatility at a level similar to that of the Q1 2023 US banking crisis

In this tutorial, we’ll explore how you can stake and mint Lombard LBTCv on Bybit Web3 Staking with the Bybit Web3 Seed Phrase Wallet. 

In this tutorial, we’ll explore how you can stake BTC to mint 

Please note that in order to get started, you’ll first need to download the Bybit App on the Apple App Store or Google Play Store. 

How to stake and mint LBTCv with Bybit Web3 Staking

: Launch the Bybit App on your mobile device and tap on the 

: Deposit BTC into your preferred Bybit Web3 Seed Phrase Wallet BTC address.

: Once you’ve deposited BTC into your wallet address, tap on the 

drop-down and select the BTC address into which you’ve deposited BTC. 

: Input the exact amount of BTC you’d like to stake, and tap on 

 and sign the message to allow this exact amount of BTC to be staked.

 page. Ensure that the amount of BTC is exactly the same as you wish to stake, and tap on 

: Tap on the icon located at the upper-right corner of the screen to check your transaction history.

: You’ll receive LBTCv in three progressive stages:

: Once you’ve received LBTCv, you can check your points (updated every hour).

If you wish to stake more BTC, simply repeat Steps 7 through 12. However, please

that you won’t be able to stake more BTC as long as you haven’t yet received your LBTCv.

To redeem your LBTC, simply scroll down the 

button. Then, wait three days for the successful redemption of LBTC.

If you wish to cancel your redemption, you can do so within these three days.

Beginner

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How to stake and mint Lombard LBTCv with Bybit Web3 Staking

A Chainlink Spot ETF would bridge TradFi and crypto, offering a simplified way to gain exposure to LINK without the complexities of digital wallets or exchanges.

There's been a recent surge in spot ETF applications as investors look for ways to sidestep the rigid frameworks of traditional finance. The success of 

 — drawing billions in inflows — signals a major shift in the way institutions approach crypto investments. 

 networks, is in line for its own Spot ETF. The proposed fund promises a direct, hassle-free way to invest in Chainlink (LINK), eliminating the need to deal with complex 

 and exchanges. This article explores what a Chainlink Spot ETF is, how it would work, its current market impact and what its potential approval could mean for investors and the broader crypto landscape.

A Chainlink Spot ETF is an exchange-traded fund, backed by Chainlink (LINK) tokens, that would directly track the market price of LINK, a cryptocurrency powering decentralized oracle networks, thus enabling investors to gain exposure without directly holding the asset itself.

 (ETF) would offer investors direct exposure to LINK’s price movements without requiring the investors to handle the digital asset directly. 

Authorized Participants (APs), typically large financial institutions or market makers approved by the ETF issuer, play a central role in maintaining liquidity and aligning the ETF’s market price with its net asset value (NAV). These entities facilitate the creation and redemption of ETF shares by acquiring LINK tokens from exchanges or over-the-counter markets, and transferring them to the ETF’s custodian, a regulated entity responsible for secure storage. 

In exchange, the ETF issuer provides APs with newly created shares, which represent fractional ownership of the underlying assets. The shares are then introduced to secondary markets for investors to trade.

Creation, redemption and listing of shares

When redeeming shares, APs collect ETF shares from the market and return them to the issuer, receiving LINK tokens from the custodian in return. These tokens can be sold on the open market or held, depending upon the AP’s strategy. This creation-redemption process enables an 

 mechanism that stabilizes the ETF’s price, relative to its underlying assets. 

If the ETF is trading at a premium to NAV, APs create and sell shares to capitalize on the price difference, pushing the market price downward. Conversely, if the ETF is trading at a discount, APs redeem shares, reducing supply and driving the price upward. This dynamic ensures that the ETF’s market price remains closely tied to LINK’s actual value. 

Shares are listed on exchanges and traded like traditional stocks, integrating seamlessly into existing portfolios while offering potential tax efficiencies. The structure combines the accessibility of conventional investments with the benefits of cryptocurrency exposure, appealing to those seeking indirect participation in LINK’s market movements through a regulated and familiar framework. For investors, the ETF will simplify exposure to Chainlink by eliminating the need to manage 

 or wallets, or navigate complex crypto exchanges. 

The Hashdex Nasdaq Crypto Index US ETF, which includes Chainlink (LINK), has gained attention as a significant development in the crypto ETF space. This ETF, 

 in February 2025 and currently provides exposure to Bitcoin and Ethereum. 

 with the SEC on Mar 14, 2025 to expand the ETF's scope to include additional cryptocurrencies like LINK, ADA and SOL. This application remains the sole filing for a Spot Link ETF (as of Mar 20, 2025). While the SEC has approved the fund's initial structure, its response to the inclusion of Chainlink and other assets remains pending.

The SEC has historically been cautious about approving spot cryptocurrency ETFs, due to concerns about market manipulation and investor protection. However, the approval of multi-asset ETFs such as NCIQ signals a potential shift in regulatory attitudes. Market sentiment has been cautiously optimistic, with investors viewing these developments as a step toward broader acceptance and integration of cryptocurrencies into traditional financial systems. The timeline for the approval of Chainlink Spot ETFs remains uncertain, but growing institutional interest and regulatory advancements suggest progress in the near future.

Current impact of Chainlink Spot ETF applications on the crypto market

The anticipation surrounding Chainlink Spot ETF applications is clearly influencing market sentiment. Although Chainlink's price hasn’t yet surged dramatically, increased investor interest and speculation about potential ETF approvals have boosted overall optimism. 

Data from LINK and CoinGlass reveals that 

 have fallen to 138.8 million coins, the lowest since September 2024, indicating that investors are holding onto their tokens in self-custody wallets instead of selling. This trend reflects a growing belief that SEC approval for a Spot LINK ETF could substantially boost the token’s price. In addition, Chainlink’s role as one of the largest oracle networks and its innovative cross-chain interoperability protocol for asset tokenization further reinforce this positive outlook.

What will it mean if a Chainlink Spot ETF application is approved?

The approval of a Chainlink Spot ETF would have some significant implications for both the cryptocurrency market and traditional financial sectors, as follows.

If you’re looking to capture the market and trade LINK tokens, Bybit offers the 

A Chainlink Spot ETF would connect cryptocurrency with traditional finance by allowing investors to track LINK’s price without the complications of managing digital wallets. Specifically, it would keep the ETF's price in line with LINK’s market value, increase liquidity and attract institutional investors. Approval of a Chainlink Spot ETF could drive LINK's price higher, similar to trends seen with Bitcoin ETFs, and confirm Chainlink’s importance in the crypto ecosystem, encouraging its use across various industries. 

However, investors need to be cautious of potential short-term price swings and changes in regulations. Overall, this ETF would make crypto investing simpler for a broader audience, strengthening Chainlink’s position and supporting wider acceptance of blockchain technology in the financial world.

Intermediate

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Chainlink Spot ETF: A gateway to decentralized oracle investment

Options

For anyone who has ever traded Options, or is looking to do so, the Option greeks — delta, vega, theta, gamma and rho — are a must-know. Find out why.

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If you're new to Options trading, you may have heard the term "Greeks", but are unsure as to what it means. So — what are the Greeks, and how can they help you become a more successful Options trader?

In short, the Greeks are a set of criteria used by Options traders to understand how the price of an Option reacts to changes in certain variables. There are five main Options Greeks: 

Don't be intimidated by these terms: They’re likely less complicated than you think. In this article, we'll walk you through each Greek, explaining how it can help you minimize the risks and enjoy the advantages of Options trading.

Before that, let's get acquainted with Options as a whole.

The first thing to know is that Options are a type of 

 contract. This means they derive their value from an underlying asset, such as a stock, commodity, index or 

Options have an agreed-upon price (known as the 

), at which the buyer gains long or short exposure to the underlying asset. Options always have a predetermined expiration date, at which the contract becomes void.

There are two types of Options contracts: 

The Option contract buyer always pays a fee known as the “Option premium” to the seller. The premium's value is determined by the strike price and the number of days-to-expiration (DTE). For the buyer, the premium represents the maximum potential loss. For the seller, the premium is the maximum potential profit.

Option traders describe strike prices in three ways:

The Greeks are a set of measures used by traders to manage risk and forecast the profit potential of an Option strategy.

When combined, the Greeks can show us how an Option will react to changing market conditions at different points in time. Each of the Greeks affects Option premiums in its own unique way.

Delta is a ratio that calculates how much an Option's price changes when the underlying asset price goes up by $1.00.

For example, a call Option with a delta of 0.50 will increase in value by $0.50 when the underlying moves $1.00 higher. Conversely, a put with a delta of −0.50 will lose $0.50 when the underlying goes up by $1.00.

Delta also represents a strike's odds of expiring in-the-money. When an Option has a delta of 0.60, it has a 60% chance of expiring ITM at that point in time.

Delta can also be viewed as the amount of exposure you have to the underlying asset at that exact moment, relative to the size of your Option position.

For instance, let’s assume you buy a $25,000 OTM call Option on BTC (contract size of 1.0 BTC) with a delta of 0.30. At that moment, your call Option will make or lose the same amount of money as if you were holding 30% of the underlying security (1.0 BTC × delta of 0.30 = 0.3 BTC).

If the value of BTC jumps to $25,000, and the delta increases to 0.50, your exposure will then be equal to 50% of the underlying (1.0 BTC × 0.50 = 0.5 BTC).

A few things to keep in mind about delta:

Vega tells us how much we can expect an Option's price to change if implied volatility moves 1.00%.

Implied volatility (IV) is the Options market's way of predicting how much an asset will fluctuate in the future. When the market expects greater movement, implied volatility rises, increasing the cost of Option premiums.

Theta (also known as time decay) measures the rate of change in an Option premium relative to time — specifically, how much value an Option will lose to time decay in the next 24 hours.

When it comes to time decay, here are some things to keep in mind:

Gamma measures the rate of change in delta relative to a $1.00 move in the underlying asset. Think of delta as the speed at which an Option's value changes, and gamma as its accelerator.

Assuming a call Option has a delta of 0.30, we know it should increase in value by $0.30 when the underlying moves $1.00 higher ($1.00 × 0.3 = $0.30). We've also learned that call Option deltas increase when the underlying asset’s value goes up — it's gamma that tells us 

If the same Option has a gamma value of 0.10, following the $1.00 move up, the delta increases to 0.40 (delta of 0.30 + gamma of 0.10 = 0.40). Subsequently, the next time the underlying moves up $1.00, the premium gains $0.40.

It's helpful to think of gamma as a measure of uncertainty:

More uncertainty as to whether an Option will expire ITM.

Less uncertainty surrounding the Option's prospects.

Rho measures sensitivity to changes in the risk-free interest rate (typically that of U.S. Treasury bills).

Option traders consider rho to be one of the “lesser” Greeks, as it has a limited impact on premiums — especially near-dated Options.

When it comes to rho, there are, however, some things to consider if you're planning to trade longer-dated Options:

To get a better sense of how different strike prices and maturities impact the Greeks, let's compare two different scenarios.

The ITM call has the highest premium and delta. However, it's also the least sensitive to gamma, vega and theta.

As expected, the ATM call has a delta close to 0.50. The strike also has the highest gamma, vega and theta values.

The OTM call has the lowest premium and delta. You'll also notice that because it's closer to the underlying price than the $28.00 call ($3.00 away instead of $4.00), it's more sensitive to the influences of vega, theta and gamma. Since all three strikes are near-dated, rho doesn’t come into play.

Now, let's examine what happens to the Greeks if we extend the contract's maturity.

Apple Inc. Call Options — Expiration: 16 DEC 2022 — 70 DTE

As expected, the ITM call has the highest premium and delta. You'll also notice that because the Option has 70 DTE, it becomes sensitive to rho — in this case, the ITM calls are the most sensitive.

As the 155.00 call is closest to the current price, it has the highest gamma, vega and theta.

As we move further away from the current price, sensitivity to gamma, theta and vega declines.

Note that regardless of the strike price, the 70 DTE calls are less sensitive to theta than the 10 DTE strikes in example 1 (time decay is slower for longer-dated options).

While it's helpful to know how each of the Greeks works, it’s especially crucial to understand delta and theta before trading Options. 

By becoming aware of an option's delta, you'll always know your immediate exposure and the odds of whether your trade will be profitable. Theta is the next concept that all Options traders should strive to master. The key to making the right investment decision is knowing how much value your Option will lose each day as expiration nears.

Remember — all things being equal, an Option loses value as time passes. For this reason, time decay is an Option seller's best friend … and an Option buyer’s greatest enemy.

Although volatility isn’t an immediate member of the Greek family, it’s still a factor to consider. We can think of volatility as a close relative of vega’s.

 is a measure of how much an asset price fluctuated during a certain period in the past.

While historical volatility tells you how much an asset moved in the past, 

 (or IV) reveals how much the Options market expects the asset to move in the future.

The thing to remember about IV is that it's purely theoretical — so it's impossible for anyone, even experts in the field, to predict the future with complete certainty. IV is, however, useful in determining whether Option prices are cheap or expensive.

In stocks investing, the golden rule is to buy low and sell high, and the same is true with Options. By buying Options when IV is low, and selling when it’s high, you significantly increase your chances of success.

Since IV often reverts to its mean over time, successful Options traders usually gauge whether IV is high or low relative to historical volatility before deciding whether to buy or sell Options.

One of the biggest mistakes a rookie trader can make is to dive into Options before gaining a basic understanding of the Greeks.

Without knowing how an Option will react when the underlying moves — or as time passes — it's difficult to make an informed investment decision. That's why, on your Options trading journey, the first step to take is to learn as much as you can about delta and theta.

Once you’ve gotten a solid grasp on those two concepts, you'll be well-equipped to tackle basic Options strategies. To attempt more advanced, higher-risk plays, go one step further to learn about gamma and vega.

The beauty of Options is that they are incredibly flexible, providing more ways to profit than spot or 

Whether your goal is to speculate, generate passive income, or even 

, Options have you covered. You can structure Options to suit your risk appetite and level of experience, and learning about Options Greeks is an excellent first step to take. We recommend that you experiment with different strategies on Bybit's

 before trading Options in real time. Happy exploring!

Option Greeks: Important Symbols Every Trader Must Know

Grab Up to 5,000 USDT in Rewards

Grab Up to 5,000 USDT in Rewards