Cryptocurrency Implied Volatility Dips to Lowest Recorded Levels, New Index Shows

Implicit volatility in the crypto market has fallen to its lowest level since August 2018, according to a new index created by BitMEX Research.

The BitMEX Volatility Index (VIX), which measures bitcoin's expected volatility over the next 30 days, fell to 0.1% on Sunday, marking its lowest since August 2018, when it peaked at 0.0% before the VIX peak was 0.0%. in early February. 12.9 in June 2019, then rallied above 20 in July before stabilizing around 19 today.

VIX is used as a proxy for other exchange-traded assets such as stocks and commodities, but has also gained popularity with traders who use it as a hedge against losses in their portfolios, but what they expect from a certain asset is price volatility or Bitcoin. may suffer losses.