On the first weekly settlement day of December, we observe limited activity in expiring options, with market focus primarily on year-end settlements. Currently, positions held through the end of December account for over half of total open interest. Historically, the dominant theme for December options has been the annual settlement. Fourth-quarter options trading volume is substantial, particularly for year-end maturities. Concurrently, strong rollover demand this month will cause a significant increase in positions for Q1 2026. Year-end expiring BTC call options remain the most popular bulk trade type, while ETH bulk trading is relatively scarce. Options data indicates both skew and implied volatility (IV) are declining significantly, signaling a cooling of short-term market panic. Rebound-hunting has become the dominant trading strategy. However, active purchases of ETH put options have also accounted for a high proportion in recent days, reflecting widespread caution among traders guarding against ETH declines. ETH sentiment recovery still requires time, though Tom Lee's sustained buying may help boost confidence. Next year's market trajectory remains highly uncertain. The upcoming Federal Reserve interest rate meeting next week is highly likely to cut rates by 25 basis points, which will subsequently put pressure on macro markets. This represents the biggest challenge facing cryptocurrencies this month.(Greeks.live)