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Derivatives Options 25deltaskew Options 25deltaskew

Bitcoin

The 25-Delta Skew measures the implied-volatility difference between out-of-the-money puts and calls.

Why it matters

It reveals whether the market pays more to hedge downside (put skew) or chase upside (call skew).

How it is built

The IV of 25-delta puts minus the IV of 25-delta calls is computed.

What to watch

Positive put skew signals downside fear and hedging demand; negative skew signals bullish upside chasing.

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