Credit Concerns Ease But Crypto Sentiment Still Cautious as Options Skew Reaching Extreme Bearish Levels

Discussed in today’s video:

• Funding and credit stress appear to be easing: High-yield and regional banks were bid, the VIX fell from ~29 to ~21, and no banks tapped the Fed’s repo facility, all suggesting improving credit/liquidity conditions.
• Gold may be topping with potential rotation into Bitcoin: After nearly hitting $4,400, gold reversed sharply. If credit concerns continue to fade, speculative capital could move from gold into Bitcoin.
• Crypto lagged equities despite a risk-on tone: Crypto underperformed relative to equities, reflecting lingering caution following last week’s volatility.
• Options skew reflects extreme bearish sentiment: Options data show puts trading at a large premium to calls across all tenors, which has historically preceded short-term rebounds in crypto.

Tickers in this video: BTC 1.82%