Bitcoin Options Volatility at Multi-Year Lows — What It Means for Traders
At-the-money implied volatility for #Bitcoin options is near its lowest levels in years across all contract durations. Historically, such prolonged periods of subdued volatility often precede major market moves, as risk tends to be mispriced in calm conditions.
When volatility is compressed for an extended period:
Price swings can become more pronounced once a catalyst emerges.
Both long and short positions may be caught off guard.
Market history shows that low-volatility phases rarely last, often giving way to sudden, sharp moves.
Traders should remain alert and consider risk management strategies during these unusually calm conditions.
