Bitcoin (BTC) Volatility Is Approaching a 16-Month Low


Despite the significant market-wide decline over the past weeks, the price of Bitcoin (BTC) has been relatively stable as it rapidly approaches the lowest period of volatility in nearly 16 months.

Bitcoin has traded at just shy of $6,500 for most of the past month. While there was a period where Bitcoin jumped from $6,400 to $7,400, due in large part to a coordinated bull push after BitMEX entered into a scheduled maintenance period, the price promptly returned back to the $6,400 range.


Given this price action, the 30-day BTC/USD volatility is rapidly approaching a 16-month low and currently sits at year lows that were only seen back in June for a short period. This volatility, which is calculated by taking the standard deviation of the daily open price and comparing it to the preceding 30 days, currently stands at 2.73%.

Bitcoin’s volatility hasn’t been this low since May of 2017, prior to a summer of bullish action that was promptly followed by a bearish September, driven by Chinese crypto-ban rumors. These levels will likely be breached in the coming weeks, barring any significant macro events that could add volatility to the BTC market.

30-Day BTC/USD Volatility

We recently published a report analyzing the beta, a measure of the volatility of a cryptocurrency, of Bitcoin as compared to the AltDex 100 Index (ALT100), a benchmark index for large-cap cryptocurrencies and tokens. As expected, we found that Bitcoin’s beta came out to be 0.87, meaning the top digital currency is less risky than the overall market (the ALT100 in this case).

Even with significantly higher trading volumes than previous years, Bitcoin is beginning to become a more stable store of value.

More: Bitcoin Volatility Chart

Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.

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