At-the-money implied volatility for #Bitcoin options is holding near its lowest levels in years across all contract durations. Such prolonged periods of subdued volatility have historically acted as a precursor to significant market moves, as participants often misprice risk in calm conditions.
This environment can lead to heightened price swings once a catalyst emerges, catching both long and short positions off guard. Market history suggests that when volatility is compressed for an extended time, it rarely stays that way for long.