Bitcoin News

Bitcoin Volatility Drops to 2-Year Low & Bitcoin Hyper Gains

Chart showing Bitcoin’s Implied Volatility 30-day index (BVIV)

Bitcoin’s volatility just hit its lowest point since September 2023. This event could be a signal that a major shift in Bitcoin and crypto market conditions is unfolding.

According to the BVIV index by Volmex, Bitcoin’s 30-day implied volatility fell to a low of 36.11%. These levels haven’t been seen since September 30, 2023, back when BTC was trading below $30,000.

And then, it was just days away from aggressively breaking out to the upside.

Fast forward to today: Bitcoin is holding strong well above $114K, and yet, volatility has all but collapsed. This divergence is a big deal: it suggests that $BTC is starting to behave more like a TradFi asset, where bull runs are often accompanied by periods of low-volatility lulls.

For savvy investors, this creates a rare window of opportunity. When the market is calm and slowly grinding up, it often sets the stage for huge upside. This is especially true for altcoins like Bitcoin Hyper ($HYPER), which are built to ride Bitcoin’s momentum with extra utility and speed.

What’s Driving This Market Shift?

Bitcoin is currently consolidating between $110,000 and $120,000; but the real story is under the hood. The 30-day implied volatility (IV), tracked by the BVIV index, dropped to 36.11% today – a level unseen since 2023.

Historically, Bitcoin’s volatility would rise during price surges, reflecting high levels of fear, excitement, and speculation.

However, this cycle appears to be different. Despite $BTC gaining over 50% since its lows in April, volatility has been steadily trending down. In fact, when compared to Gold’s volatility, Bitcoin’s volatility is at a historical low, currently less than twice that of Gold’s.

 Chart showing Bitcoin’s implied volatility closing its gap against that of Gold’s.

So what’s changed?

Analysts point to the growing use of institutional-style structured products, such as options and ETFs, that suppress BTC’s volatility.

As more institutions and other large players enter the space, Bitcoin is increasingly mirroring TradFi markets like the S&P 500 or Gold, where slow, upward trends tend to dampen volatility rather than ignite it.

Why Low Volatility Is Actually Bullish

In traditional finance, falling volatility during bullish periods in the market is a sign of growing confidence, not weakness. It suggests that investors truly believe in the trend, and aren’t aggressively taking profits or scrambling for hedges.

Bitcoin’s current implied volatility downtrend reflects that exact dynamic. As fear subsides, institutions are more likely to step in,…

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