"It looks like bitcoin options traders appear to be hedging their bets to the downside ahead of the U.S. election this week. Through a .25 delta risk reversal we can see that contracts expiring within a week are slightly negative - meaning puts more expensive than calls - compared to longer-dated maturities of either 2 weeks or 30 days, where the skew reverts to being positive again."
"The so-called 25-delta risk reversal for contracts expiring Friday was -1.3% on Monday, showing a bias for puts. The metric measures the difference in implied volatility between out-of-the-money higher strike calls and lower strike OTM puts, providing an easy to read picture of the market sentiment."
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