The invention relates to a device used for monitoring hydrocephalus and encephaledema. The device comprises a signal encoding generator, an emission electrode, a receiving electrode, a signal processing digital converter, an orthogonal regulator, a detector, a parameter assessment device, a resistance analyzer and an assessment instrument. The invention also relates to a method used for monitoring hydrocephalus and encephaledema, which comprises the following steps of: intruding into the lower part of the skull skin; emitting electromagnetic waves; carrying out amplification and filter processing on the received electromagnetic waves, and converting the electromagnetic waves into digital signals; carrying out orthogonalization processing on the digital signals; detecting synthetic signals and orthogonal signals of the electromagnetic waves; calculating the relative attenuation coefficients, the relative phase displacement, the transmission speed difference and the complex wave value K; calculating the complex impedance Z and capacitance; and assessing hydrocephalus and encephaledema. According to the invention, hydrocephalus and encephaledema situations can be monitored and assessed all day in a non-intrusive mode so as to reduce the treatment risks.