Option Skews Don’t Look Too Hot Implied volatility for near-term options are skewed towards puts, indicating...Option expiries slightly further out at the end of the year (Jan. – Feb. 2022) are less skewed, indicating...A key reason short term skews lean bearish could be the upcoming FOMC meeting.

Options Skew Signals Optimism Option skews help us establish a rough base for forward-looking market...The Oct. 2021 skew has a tail towards lower strikes (higher implied volatility) but not towards the higher...However, Nov. and Dec. 2021 skews look positive with higher implied volatility for strike prices above...

Chart of The Day: ETH Options Skew Towards Puts Options traders are seemingly bearish for ETH in the...near-term as volume skews rather heavily towards puts as compared to BTC in the same expiry period....Chart of The Day: ETH Options Skew Towards Puts Options traders are seemingly bearish for ETH in the...

Skew Farming Skew occurs when one side of the pool holds more USDC than the other....Skew is calculated as “long TVL divided by short TVL.”...Therefore, if the market is bullish and there are more longs than shorts, then the skew shifts above...The opportunity for skew farming exists when the leverage tokens have polarized collateral skew.

What you’re seeing is the volatility skew — a chart that plots the implied volatility of each strike...The perfect volatility skew looks like a smile — low at strikes that are close to current market price...Look at the Sep. 24 skew....Now look at the skew for the Dec. 31 expiry.

Implied Volatility Down, Skew Up The 25 delta skew measures the price of a call option with a delta...Simply put, if the skew increases then puts are becoming more expensive than calls; if the skew decreases...Since then, skews across option durations have fallen by a small amount.

Near-Term Options Skews Don’t Inspire Hope BTC’s market price was roughly $57K when this data snapshot...Looking at the quarterly and EOY expiry on Dec. 31, the skew is a lot more balanced than short-term weekly...Mar. 2022 and Sep. 2022 skews, while not pictured, look more positive than these near-term expiries.

Thales incorporates a skew impact price in order to balance exposure within a market....The skew impact can be positive or negative, making positions that exacerbate lopsided exposure to an...The risk cap and skew impact allows the AMM to market make in units of risk rather than token prices.

If BTC’s OI skews towards the long end, the funding rate will be positive over time....This is a result for long skewed OI over an extended period of time....skew will benefit from a positive price impact....If you enter a position exacerbating the skew, a steeper fee is levied.

In a situation with skewed demand for longs over shorts, long traders must pay funding to shorts for...As you can see in the chart above, the GMX long-short skew is pretty severe....With GLP’s current design, in a strong trending market with trader exposure heavily skewed either long...

GMX v2 introduces a price impact based on the skew of LPs and open interest....Margin traders are affected by OI skews....This mechanism serves as a deterrent against amplifying the skew further....Moreover, this disincentivizes further trades that would accentuate the skew....Borrowing fees affect levered traders, regardless of OI skew.

The Options Market is Still Cautious The 25% delta skew measures the implied volatility of an out-of-the-money...Over the past month, the skew has been in decline, which means puts are getting expensive (due to higher...

Option skews help us establish a rough base for forward looking market sentiment....However, Nov. and Dec. 2021 skews look positive with higher implied volatility for strike prices above...Skews for expiries in 2022 are more balanced and signal a more neutral outlook given how far out these...

September’s Options Action BTC options open interest is heavily skewed towards the Sep. 24 expiry and...The implied volatility skew is fairly balanced despite a lack of activity on the tails (extremely out-of-the-money...

To further expand on this view, the 25 delta skew remains close to 0 for the same group of ETH and BTC...As the skew drifts down, it means there’s more demand for calls than puts and vice versa....With the skew hardly budging over the last week, this is an indication that market participants are still...

Buying Barrage A large amount of put buying in the Oct. 8 options expiry caused the short-term put-call skew...For those who need a refresher, the 25 delta put-call skew measures the pricing of puts and calls that...At the same time, longer-term skews are continuing to fall after a short-lived increase in early September...

Second, awards will be heavily skewed towards stablecoins....Skew incentives more heavily towards lenders....forum poster, the impression that the Harmony community is brigading this proposal in an attempt to skew...

Merkle seeks to balance its open interest (OI) skew via its funding mechanism....User fees for a trade are also determined by the OI skew....If a trade furthers the skew, it is subject to a higher taker fee....But if it moves against the skew, it gets a lower maker fee.

Low, stable funding implies a balanced as demand isn’t skewed towards either longs or shorts....Over $2.1B of liquidations were reported by exchanges per Skew Analytics, and the real number is likely...

That said, Mythical Games’ $37M Series C1 round of funding skews the data to make it look like the average...