What Is the Role of Bitcoin’s Implied Volatility during a “Flight to Quality” Event?

Bitcoin's implied volatility (IV) usually rises across the board, especially for short-dated options. This reflects the increased uncertainty and demand for hedging instruments.

However, the skew often shifts, with a higher relative demand for put options, reflecting a fear of further decline even in the "quality" asset. This IV spike is less severe than in altcoins.