Bitcoin $114,317.13The significant decrease in volatility of (BTC) has recently attracted attention. Crypto currency draws a limited picture between 110,000 and 120,000 dollars in price movements, while price volatility shows stagnation compared to the past. The latest data indicate that Bitcoin’s 30 -day volatility index decreased to 36.5 percent on an annual basis. This ratio stands out as one of the lowest levels observed since October 2023. At that time, BTC was traded under $ 30,000.
Volatility and market movements implied
According to market data, this decline in volatility may be due to the low demand for protection (hedge) in the option market on Bitcoin. Although there are concerns of stagnation in economic data from the United States, it is considered that investors do not seek additional measures against risks. While the implied volatility is directly associated with option demands, the low -time of this indicator suggests that market participants are calm.
A similar view is also watched in the US stock market. The VIX index, which measures the volatility for S&P 500, tended to decline again after a short -term rise. This movement of VIX has parallels to the volatility of Bitcoin and may indicate that risk perception is generally low in financial markets.
Similar dynamics between stock market and bitcoin
Bitcoin price has risen rapidly from $ 70,000 to $ 110,000 since November, while volatility moves in the opposite direction. This is considered a sign of a significant change in the crypto currency market. In the past, Bitcoin’s price and volatility often move in the same direction, while the current table seems to have an inverse relationship between the two indicators.
Some market analysts attribute one of the reasons of this development to the spread of structured financial products. In particular, the interest in the products related to the sale of options defined as “outside the money oluy may have contributed to the decrease of volatility.
Speaking to Coindesk, some analysts, “With the increase in structured products and low volatility, the Bitcoin market is increasingly like Wall Street,” he said.
This new dynamic is interpreted as the Bitcoin market starts to resemble financial markets from the classic crypto currency market. The decrease in volatility in the long -standing rise trends is known as a frequently observed phenomenon in traditional stock market indices.
According to experts, the decrease in volatility in the Bitcoin market may indicate that investors have a more stable market expectation. However, past data show that the relationship between volatility and price may change from time to time. Therefore, it may be difficult to make definite predictions about the direction of the market.
As a result, the low level of volatility observed in the Bitcoin market may indicate that the expectation of short -term fluctuation between market participants has decreased. Experts will continue to monitor whether this situation will bring a permanent change in the market structure in the future.
Responsibility Rejection: The information contained in this article does not contain investment advice. Investors should be aware that crypto currencies carry high volatility and thus risk and carry out their operations in line with their own research.
