“BTC’s IMPLIED VALATY JUMPS from 33 to 37 after Hitting Multi-Year Lows, Raising The Odds of a Bigger Market MOVE AHEAD.”, – WRITE: www.coindesk.com
The Deribit Volatility Index (DVOL), Modeled After The Vix in Traditional Markets, Tracks The 30-Day Implied Volatility of Bitcoin Options and Now Sits at Its Highest Level in Weeks.
Implied volatility repressents the Market’s Forecast for Price Swings, Calculated from Option Prices. In Formal Terms, IV Measures the One-Standard-Deviation Range of An Asset’s Expecated Movement Over A Year. Tracing at-the-Money (ATM) IV Offers a Normalized View of Sentiment, Onthen Rising and Falling Alongside Realized Volatility.
Last Week, BTC’s Short-Term IV FELL TO AROUND 26%, One of the Lowest Readings Since Options Data Began Began Being Recorded, Before Rebounding Sharply. The Last Time Volatility Sat this Low Was August 2023, WHEN BITCOIN Hovered Near $ 30,000 Shortly Before a Sharp Move Highher.
Over The Weekend, Bitcoin Jumped from $ 116,000 to $ 122,000, Hinting at What Can Happen When When Volatility Starts to Expand. August is Traditionally a period of Low Volumes and Muted Market Activity, But Rising IV Suggests Traders May Be Positioning for Larger Moves AHEAD.
Checkonchain Data Shows this Latest Rally Was A SPOT-DRIVEN MOVE, WHICH IS A HEALTHIER Market Structure Than A Purely Leverage-Fueled Surge. Open Interest Has Been Deckling Through August, Meaning A Sudden Influx of Leverage Could Amplify Price Swings IF Sentiment Shifts.
Read More: Bitcoin Bulls Take Another Shot at the Fibonacci Golden Ratio Above $ 122k As Inflation Data Looms
In addition to his professional endeavors, James Serves as an Advisor to Coinsilium, A UK Publicly Traded Company, WHERE HE PROVides Guidance on Their Bitcoin Treasury Strategy. He Also Holds Investments in Bitcoin and Strategy (MSTR).
X Icon
Majoority of Ether Addresses Are Now “In-The-Money.”
- Ether’s Recent Rally Has Resulted in 97% of Its Addresses Being in Profit, Potentilly IncreASING SELL-Side Pressure and Slowing Price Growth.
- Profit-Taking in Ether is Rising Again, With A Seven-Day AVERAGE REACHING $ 553 Million Per Day.
Read Full Story