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Glossary · Gamma exposure (GEX)

What is gamma exposure (GEX)?

Gamma exposure estimates how much options dealers must buy or sell the underlying to stay hedged as price moves.

Is gamma exposure measured or modeled?

When dealers are long gamma their hedging tends to dampen moves, and when short gamma it tends to amplify them. GEX is modeled, not measured: it depends on assumptions about who holds which options. Markov's options walls for BTC and ETH come from Derive's option chains and are labelled modeled.

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