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As the first half of the year, when the price volatility in the crypto money markets continued, has passed, a striking report has been published regarding Bitcoin, which started the year well. The report in question found that in the 180-day period, Bitcoin earned 98% of its total returns in just 8 trading days.

TURKEY — The first half of 2023, in which developments such as the interventions of the US Securities and Exchange Commission (SEC) and the Bitcoin ETF discussions followed one another in the crypto money markets, which completed 2022 in the shadow of bankruptcies and worsening macroeconomic indicators, has passed. Leading crypto exchange and Web3 technology company OKX, launching its trading and investment solution called Nitro Spreads as of June 2023, has released its first market analysis report to help show that Nitro Spreads facilitates institutional investors to navigate market volatility.

In the aforementioned report, it was found that Bitcoin, which is thought to perform well in 2023, earned almost all of its gains (98%) in just 8 trading days in the 180-day period.

It's hard to predict when stable gains in crypto

The report states that Bitcoin futures data, including Continuous Swaps, implicit volatility and maturity structure data, was obtained from quantitative analytics data provider Laevitas, while spot price data was obtained from OKX Exchange.

Sharing his assessments on the subject, OKX's Chief Commercial Officer Lennix Lai said, “We have determined that there are market liquidity and rate of return differences. Cryptocurrency markets, which can respond quickly to many macroeconomic developments, regularly announced economic data, and regulations faced by companies, follow a fluctuating and volatile course for all these reasons. Our findings underscore again how difficult it is to predict the timing of steady gains in such a volatile environment.”

Institutional investors pursue market-independent strategies

Expressing that their report focuses on examining the difficulties of long delta transactions in the current crypto market and determining how experienced institutional investors can follow market-independent strategies in a horizontal market, Lennix Lai said, “We see that more and more institutional investors are following market-independent strategies. As OKX, we offer various tools to cryptocurrency traders so that they can perform transactions in accordance with their strategies and be successful in different market conditions. Our tool called Buy-Sell Strategy (Nitro Spreads) is one of them. OKX Nitro Spreads executes two parts of the transaction through a central order book, making it possible to complete complex base trades efficiently with one click.”

“It eliminates the risk of cross-market parts”

Emphasizing that the Buy-Sell Strategy product, which they launched in beta at the end of June, is a buy-sell difference transactions solution that eliminates the risk of parts between crypto markets, OKX's Commercial Operations Manager Lennix Lai concluded his evaluations with the following statements:

“Institutional investors using this tool can execute a two-part base trade with one click. Market-independent strategies, such as spreads, can reduce the risks associated with sudden market movements and offer investors a balanced trading approach to achieve stable returns. This tool, which can be used by institutional investors applying for early access, provides VIP users with advantages such as 50% lower transaction fee, lower realization risk and higher capital efficiency.”

As OKX, which reached a transaction volume of over 1 billion dollars in the liquid market in the first quarter of 2023, and tripled this figure in its total transaction volume as of the end of July, we aim to develop solutions for both individual and institutional investors to properly evaluate their savings and to value the value these solutions provide to the market and our users. We will continue to share with transparency.