Analysis: The crypto market crashes, oil prices soar, and traders are betting heavily on a decline.

Golden Finance reported that on April 2, geopolitical tensions escalated again, driving oil prices up 10%, pressuring equities, and strengthening the U.S. dollar while triggering broad risk-averse sentiment in the market, causing cryptocurrencies to fall as well. Funding rates turned sharply negative as open interest increased, indicating that traders are actively shorting Bitcoin and Ethereum; the total liquidation amount across the network is close to $400 million.
Despite the price decline, options implied volatility remains stable. The options market shows that investors are continuously buying downside protection rather than panic-selling.