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

Spot prices have jumped significantly in the two weeks following the November 5, 2024 U.S. elections, propelling Bitcoin to new all-time highs, while Ethereum hasn’t kept pace. The implied volatility term structure has inverted again in tandem with these spot price movements, although longer-dated tenors remain relatively stable. Derivatives market indicators reflect strong positive sentiment: perpetual funding rates are consistently positive, open interest in futures contracts is rapidly increasing and options skew remains firmly positive.

Open interest in futures has surged, indicating heightened market participation and a growing interest in leveraged exposure due to recent price movements. Similarly, open interest in perpetual contracts has sharply increased, fueled by rising trader confidence and a growing demand for leveraged positions in light of recent market rallies. Meanwhile, the implied volatility term structure continues to invert in alignment with spot price increases, demonstrating a sustained correlation between spot prices and volatility.

Please check out the report’s highlights.

Futures Open Interest Reaches ATH Along With Price

Perpetual swap open interest has been increasing alongside futures, with a consistent rise in open positions over the past week reaching all-time high activity levels. This trend suggests that traders are actively pursuing leveraged exposure in response to the ongoing spot rallies, aiming to capitalize on the rising spot prices. Notably, there’s been renewed interest in Ethereum (ETH), reflected in rising trading volumes. 

Perpetual swap funding rates have reached exceptionally positive levels, indicating that long positions are confident enough to pay these rates to sustain their leveraged exposure. This trend has consistently been observed across all tokens, with a noticeable rise in funding rates since Nov 10, 2024. The persistently high funding rates highlight the strength of the bullish sentiment, which is also evident in the increasing open interest in futures contracts. This aligns with the recent spot price action, demonstrating significant upward momentum.

Option Volatility Term Structure Inverts 

The implied volatility term structure for Bitcoin has inverted amid the recent spot rallies over the past few weeks, indicating heightened market uncertainty and expectations of imminent price movements. However, levels haven’t exceeded the highs seen before the elections, and longer-dated tenors remain firmly range-bound. Concurrently, open interest in Bitcoin options has risen significantly, with a notable increase in put trading volumes. Open interest in puts has slightly surpassed calls, despite the persistently bullish market outlook indicated by the volatility smile skew.

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Bybit X Block Scholes Crypto Derivatives Analytics Report (Nov 20, 2024): Market Becomes Extremely Positive About Bitcoin as Volatility Curve Turns Invert

Learn how to join Bybit's VIP Program, where you can realize exclusive benefits — from up to 50% off trading fees and tailored interest rates to instant OTC trades up to $10M.

With the Bybit VIP Program, you can realize exclusive benefits — from up to 50% off trading fees and tailored interest rates to instant OTC trades, Bybit Card cashback and more. Joining the ranks of the very best traders on the platform will boost your profitability, raise your limits and offer access to VIP-only perks.

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The Bybit VIP Program offers a multitude of benefits for members. These range from discounted trading fees and high limits for withdrawals and application programming interface (API) trades to priority Bybit customer support access, relationship managers and exclusive VIP events and meetups. You can find the full list of VIP exclusive benefits 

Requirements to Become a Bybit VIP Trader

You’ll need to fulfill a specific level for one of the criteria below to become a VIP trader on Bybit:

Bybit's VIP Program features six distinct tiers: 

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Once you become a VIP trader, you must continuously meet the above criteria to maintain your Bybit VIP status and keep enjoying the benefits. 

However, this doesn't mean your account will immediately lose its VIP status and revert to standard after a single day in which you don’t meet the requirements. Bybit offers a 14-day grace during which you can continue enjoying VIP perks and benefits, even if you no longer meet the program's conditions. If the criteria are not met by the end of this period, your VIP status will automatically be revoked. However, if that occurs, you can regain your status by fulfilling the requirements for any VIP tier either during or after the grace period. When this happens, Bybit will grant you a new 14-day grace period.

How to Sign up to Become a Bybit VIP Trader

In the following section, you'll find a step-by-step guide that shows you how to join the Bybit VIP Program.

The first step to becoming a VIP trader is to open a Bybit account (if you haven't already done so). Simply 

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Next, fund your Bybit account with crypto or fiat currency.

You can deposit cryptocurrencies by using the 

 menu. On the page, choose your desired coin and the blockchain where you'll be depositing the assets. To avoid any loss of funds, please always ensure that you're transferring crypto from the correct chain.

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To fund your Bybit account with fiat currency, click on the 

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 service, choose a fiat currency, the deposit amount and one of the available payment methods. After clicking on 

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After you have a verified Bybit account funded with either crypto or fiat, perform eligible activity on the platform until you qualify for VIP status (see table below).

You can achieve VIP status by fulfilling a minimum level of VIP 1 in either of the following categories (

After becoming a VIP trader on Bybit, don't forget to maintain your VIP status to continue enjoying the exclusive perks and benefits.

If you have active VIP status at another crypto exchange, or your total MT5 trading volume meets Bybit's VIP criteria, you can apply for a VIP+2 upgrade. This upgrade will grant you VIP status on the platform — and instantly elevate it by two levels. (Please 

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 and submit your 30-day trading volume on your current exchange. Bybit’s VIP team will review your application, and a Relationship Manager will contact you if you're eligible for the VIP upgrade.

How to Get Started With a 20-Day Bybit VIP Trial

Another way to qualify for VIP status on Bybit is through a 20-day trial. Instead of fulfilling the requirements of the VIP 1 level, simply fund your account with $50,000 to enjoy the exclusive benefits of the program for 20 days with a VIP Trial Card (issued one day after your deposit). The VIP trial offer is available to users who haven't used a trial within the past two months.

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With VIP Level-Up Tasks, you can earn generous bonuses as high as 6,000 USDT. You can claim rewards for Level-Up Tasks for five VIP levels (VIP 1, VIP 2, VIP 3, VIP 4 and VIP 5), with higher tiers offering greater bonuses upon completion.

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Exclusive Trading Benefits Offered to Bybit VIPs

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Intermediate

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How to Become a Bybit VIP: Your Guide to Exclusive Benefits

LETSTOP is a drive-to-earn mobile app that monitors phone distractions while driving. Learn more about how it works in this article.

Smartphone distractions have created an unprecedented road safety crisis worldwide. 

: texting behind the wheel makes drivers six times more likely to crash than drunk driving does — yet millions of drivers still use their phones while operating vehicles.

This article explores how LETSTOP is transforming safe driving into rewarding experiences through blockchain technology. We'll examine its drive-to-earn model, reward system, tokenomics and potential as both a road safety solution and an investment opportunity.

 is a drive-to-earn mobile app that monitors phone distractions while driving. Users earn STOP tokens for phone-free driving through a gamified system that transforms daily drives into rewarding experiences.

A life-changing car accident caused by a distracted driver running a red light inspired LETSTOP co-founder Almog Nissan to reimagine road safety. Together with co-founder and CEO Dor Levy, they envisioned rewarding safe driving, rather than just punishing dangerous behavior.

The founders built a platform that combines automotive technology, cryptocurrency and AI to revolutionize road safety through rewards. This innovative approach has quickly gained traction, with over 50,000 users logging over 3 million kilometers of safe driving since the app’s launch.

Distracted driving claims thousands of lives annually, with 

, of which 9% are directly linked to phone use. LETSTOP aims to tackle this crisis as follows:

Each of these objectives works harmoniously to support LETSTOP's ultimate mission of transforming road safety into a rewarding experience that benefits both individual drivers and society.

The LETSTOP app operates through a sophisticated system that monitors and rewards safe driving through the following apps and features:

The result is a dynamic system in which better driving habits unlock greater earning potential.

The following five core features power LETSTOP's drive-to-earn ecosystem.

LETSTOP uses a dynamic 40-level system to make safe driving rewarding. As drivers earn XP through distraction-free journeys, they advance from Level 1's 2% bonus toward Level 40's 70% boost. Through this gamified approach, daily commutes become opportunities to climb the ranks while building safer driving habits.

LETSTOP Credits are the core currency of the platform, earned directly through safe driving achievements. Earning rates directly scale with user level, vehicle type and subscription tier as follows: PRO subscribers enjoy unlimited earning potential, while PLUS and LITE tiers are capped at 300 and 150 monthly credits, respectively.

In the STOP Store, users invest their earned credits into virtual cars with unique earning multipliers. From the basic model's 2% bonus to the Jazzster GN's 150% boost, each vehicle offers different strategic advantages for maximizing rewards.

Beyond vehicles, the store features mystery boxes containing rewards from 10 to 450 credits, as well as car upgrades and subscription boosts. Users can also access a voucher marketplace to redeem credits for real-world rewards through LETSTOP's partnership network.

LETSTOP's triple-boost system combines vehicle multipliers for immediate earnings acceleration, a level-progression system for sustained growth and a 5% referral program for community expansion. Premium membership unlocks enhanced benefits across three tiers, while special events create time-limited opportunities for increased rewards.

The platform's comprehensive rewards system operates across three membership tiers, each one tailored to different user needs. LETSTOP PRO (at $9.90 monthly) offers unlimited credit earning potential and exclusive benefits. The PLUS tier provides a balanced option at $4.90 monthly with a 300-credit earning cap, while the free LITE tier allows users to earn up to 150 monthly credits.

Beyond direct earnings, the rewards system incorporates partner vouchers, cryptocurrency conversion options and community features, such as leaderboards. Achievement rewards recognize milestones in users' safe driving journeys, while the upcoming cryptocurrency integration will allow users to convert their efforts into tradeable STOP tokens.

LETSTOP has shown consistent progress, with the following key milestones already achieved:

Looking ahead to 2025, LETSTOP plans to implement the following key developments:

These developments aim to strengthen LETSTOP's position as a leader in drive-to-earn while furthering its mission to enable safer roads worldwide.

STOP is an SPL token built on the Solana network. It’s designed to bridge safe driving behavior with cryptocurrency rewards. The STOP token implements an annual halving mechanism to ensure long-term value preservation, similar to Bitcoin's model, but accelerated to align with the project's growth trajectory.

STOP has a max supply of 100 million tokens, to be distributed in the following manner:

The growing adoption of LETSTOP's drive-to-earn app and its impact on road safety directly influence STOP's price trajectory. While cryptocurrency forecasts remain speculative by nature, multiple price analysis platforms project the following for STOP:

These forecasts suggest a positive long-term outlook for STOP, driven by the growing drive-to-earn sector and LETSTOP's innovative approach to road safety. However, STOP's future value will ultimately depend upon user adoption, platform development and broader market conditions.

Looking to trade LETSTOP tokens? Bybit now offers the STOP/USDT Spot trading pair. To get started, you’ll first need to create a Bybit account, then fund it with cryptocurrency and navigate to the 

STOP shows promising potential in the drive-to-earn sector, though investors should carefully weigh both its strengths and potential risks before making investment decisions.

While STOP's innovative approach to road safety and its strong initial traction distinguish it in the market, potential investors should 

 and invest no more than they can afford to lose.

As smartphone distractions continue to endanger lives on roads worldwide, LETSTOP offers an innovative path forward. Through its innovative drive-to-earn model and STOP token ecosystem, the platform transforms daily commutes into safer roads and user earnings opportunities, showing how digital innovation can effectively “drive” positive behavioral change.

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LETSTOP (STOP): Turning Daily Rides Into Profitable Journeys

FDUSD, a stablecoin from First Digital Labs, is now live on Sui as a native token, joining other stablecoins like USDC and AUSD.

The S&P 500 ended flat amid mixed earnings and geopolitical concerns, as investors awaited Thursday's data and Fed commentary. Coindesk Indices, an index measuring broader cryptocurrency market performance was up by 2.01%, with Bitcoin rising by 1.91% and Ether dropping by 0.59%, in the past 24 hours.

Today's top performer is LUMIA, which surged 16.1% following the announcement of its partnership with Cobox to bridge real-world assets and virtual ownership.

Lumia (LUMIA), founded in 2024, is a Layer 2 blockchain solution leveraging the Polygon CDK to enhance scalability, liquidity, and interoperability. It addresses challenges like data availability and cross-chain interactions by incorporating AvailDA for decentralized data and Polygon AggLayer for cross-chain functionality, enabling efficient and flexible dApp development. 

 to integrate real-world assets (RWAs) into its immersive, player-owned universe. This collaboration aims to enhance asset liquidity, trading, and gameplay experiences, bridging digital and physical realms for more tangible and vibrant virtual ownership.

Check Out the Latest Prices, Charts, and Data of 

, a stablecoin from First Digital Labs, is now live on Sui as a native token, joining other stablecoins like USDC and AUSD. This launch reflects growing institutional confidence in Sui, which has seen significant growth in TVL and DeFi volume. FDUSD, backed by reserves in Asian banks and US Treasury debt, offers DeFi users a reliable, US Dollar-pegged stablecoin, bridging traditional finance and cryptocurrency ecosystems.

Yesterday, the total flow into Bitcoin Spot ETFs is $146.9 million, with $0 million in GBTC and $146.9 million in non-GBTC products.

: the Spotlight Badge, which requires minting through the Spotlight Protocol and joining a Spotlight circle; the Impossible Finance Badge, which involves completing social tasks, claiming the TIDIA faucet, staking TIDIA on Impossible Finance, and then claiming the badge; and the SNGLR Badge, where users connect their wallet, follow artists, mint IP assets, tweet, and provide personal details to claim their badge. More badges are coming soon!

Beginner

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FDUSD Launches as Native Stablecoin on Sui, Strengthening DeFi Ecosystem

Candlestick

Trading

Bear flag patterns are an important warning sign for traders to spot. In this article, we'll explain how you can do just that.

Spotting trends can be a challenging task for beginners. However, trends can help a trader to spot market movements — and come up with trading strategies that make big bucks when used correctly.

The bear flag pattern anticipates the continuation of a bearish downtrend, following a pullback, a temporary price reversal.

More often than not, experienced traders will spot trends in order to meet their investment objectives. Whether you’re a beginner or an experienced trader, here’s an overview of what you will learn about pattern trading:

A bear flag pattern is a formation that is usually distinguishable on the candlestick chart. It is formed from the flag pole, which is the steep downward move before the pullback, and the flag itself represents the actual retracement.

As it is a trend extension, the bear flag chart is regarded as a trend continuation pattern. Initially, the price pattern will trend downward until a new support level is formed. 

This is when the flag emerges in the form of an upward consolidation channel. After a while, the price breaks below the support level of the flag and continues the bearish trend. This signals cryptocurrency traders to open short positions so they may benefit from the price decline.

 is often misunderstood as a complicated financial instrument to trade in the black market. In its purest form, cryptocurrency is much like forex. It is a medium of exchange, albeit not a legal tender.

 that work in the traditional forex market can be used for trading cryptocurrencies. 

Still, Bitcoin and most of the altcoins are very volatile and unpredictable. This is why you should use risk management techniques. 

To enhance the relevance of the bear flag, you can rely on technical indicators like moving averages and keep an eye on the volume indicator. Usually, the bearish volume increases as the flag’s pole is forming, until the consolidation. This indicates that the bearish sentiment is strong and that the consolidation might be temporary.

The bear flag pattern has been used for decades in the stock, foreign exchange and commodity markets, among others. Therefore, crypto traders have adopted the bear pattern, along with the bull flag, which we will discuss further.

The bear flag pattern has two key elements: the pole and the flag. Other elements to pay attention to are the volume indicator and the breakout. Here is what you should look for on the chart:

First, you have to determine the flag pole, which coincides with the initial price decline driven by strong bearish momentum. At this point, the downward movement can be steep, while the volume indicator may ascend.

To recap, here are the main elements of the bear flag pattern:

Bear Flag and Bull Flag Patterns Explained

The bull flag pattern is the evil twin of the bear flag pattern. It shows up in bullish markets. The two patterns have similar structures. The only major difference refers to the trend direction. The bull flag pattern appears during an uptrend. Thus, the bull flag’s pole represents an ascending line. 

The flag itself is looking downward and it represents a temporary correction. Once the price breaks above the flag’s resistance line, traders are interested in opening long positions. The rules of the stop-loss and the take profit are practically the same, only inverted.

 is the volume. When the bull flag pattern shows up, the volume tends to increase during the pole and then drop during the consolidation. Nevertheless, the behavior of the volume indicator during the bear flag pattern is not the same. The indicator also increases during the flag’s pole, but it tends to sustain the same level rather than decline.

The flag shows that an existing trend has reached the oversold (in the case of a downtrend) or overbought (in the case of a bullish trend) level. The market needs a rest. Thus, after a steep price movement, the price will move in the opposite direction for a while. 

Once the pullback is over, the price continues to move in the direction of the current trend. 

To get a better signal, it makes sense to combine the flag pattern with one of the oscillators. For example, you can use the Relative Strength Index (RSI). In a bullish market, the flag elements following the pole might show up during the overbought level.

How to Trade Crypto With a Bear Flag Pattern

As compared to other chart formations, trading with the bear flag pattern is quite easy to comprehend. You can rely on the dynamics of the flag chart pattern alone to come up with a strategy to profit from the bearish market. Here are the key aspects of the standard trading system based on the flag pattern:

: The flag is a continuation pattern, but that doesn’t mean you should place the short order right after the price breaks below the flag’s support. Instead, you should 

wait for the confirmation of the downtrend to avoid a false signal

Traders typically wait for a candle to close below the flag’s support line and then go short during the next candle. Patience and discipline are very important, particularly for day traders, especially when trading volatile cryptocurrencies.

If the price is moving in an opposing direction, you should use a

. Traders typically place the stop-loss order above the resistance line of the flag. 

For example, let’s say that we trade Bitcoin on the hourly chart. If the lower line of the flag is at $42,000 and the upper line is at $43,000, you would be interested in placing the stop-loss order above $43,000.

 As mentioned above, conservative traders tend to 

use the distance between the flag’s parallel trend lines to set the profit target

. In our example, the difference between the two lines is $1,000, so we will add this amount to the price at the breakout entry point, which is $41,800. Thus, our price target is $40,800. 

More aggressive traders can use the flag’s pole (without the flag itself) to set the price target. However, the price might find a support level earlier than that. A good recommendation is to check previous strong

. If there are any, they can work this time as well, defying the pattern’s prediction.

Before placing an order, you should watch for the evolution of the bear flag pattern until the breakout point. A breakout occurs when a price movement exceeds the defined support or resistance level. The retracement of the flag should not be higher than 50% compared to the pole. 

. If the breakout occurs during these conditions, you should be ready to go short. As mentioned, be sure to look out for a candle to close below the flag’s support, and open the short position during the next candle.

To succeed in trading with flag patterns, it’s wise to always use volume as a guide when making a decision on your entry and exit point of a target price. This will help you to confirm the breakout and to speculate as to the momentum after it.

Yes, the bear flag is considered one of the most popular price action patterns, along with double top, and head and shoulders. Still, it doesn’t mean that all of the signals it provides will be 100% accurate, especially when you trade cryptocurrencies. To limit potential losses in case the price defies the pattern’s rules, use risk management techniques. The stop-loss is one of the most basic yet powerful risk management tools that you may implement. Another great method is to follow the 1% rule, which suggests that you should not spend more than 1% on a single trade.

Here are the main advantages of the bear flag pattern:

As with any pattern or technical analysis strategy, a trader should be aware of the risks accompanying trading patterns. Here are the main downsides of the formation:

While you might be tempted to trade with technical analysis on shorter time frames, the best results can be achieved on longer ones. For example, you can implement flag-related strategies on the H4 time frame and higher.

To minimize risks and potential losses, a savvy crypto trader will practice the pattern’s rules on a demo account, or start with small amounts of funds. This will help you to more easily identify the flag formations, and implement the rules accordingly.

Candlestick Patterns Professional Traders Use

 – A curated list of candlestick patterns most frequently used by traders

 – Learn the basics of candlestick patterns

 (Chart basics: trend, neckline, wedges)

What Is a Bear Flag Pattern? How to Use it to Trade Crypto Effectively

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