Options IV skew can hint at Bitcoin crashes three days ahead by showing shifts in market fear. IV skew compares implied volatility between out-of-the-money puts and calls. A "reverse skew"—higher put IV—suggests traders expect a drop, buying puts for protection. In Bitcoin’s volatile market, this can appear days before a crash, as seen before the May 2021 drop tied to China’s crackdown. However, it’s not foolproof; false signals happen, and Bitcoin’s options market is less liquid. Watch short-dated options for a sudden put IV spike with rising open interest. Pair it with futures or on-chain data for better odds—it’s a clue, not a certainty. (139 words)
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I just collected "Farcaster: Lion"
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Love is when someone believes in your potential even when you doubt yourself.
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