Home Fear & Greed Pools Wallets Dictionary Advertise Facebook Twitter Telegram Reddit Youtube
Market Cap:
24h Vol:
Cryptocurrencies: 13105
Markets: 101189
CoinInsight360.com logo CoinInsight360.com logo
ENG
EST
RUS
TUR
DEU
CHI
KOR
ITA
USD
USD
AED
AFN
ALL
AMD
ANG
AOA
ARS
AUD
AWG
AZN
BAM
BBD
BDT
BGN
BHD
BIF
BMD
BND
BOB
BRL
BTN
BWP
BYN
BZD
CAD
CDF
CHF
CLF
CLP
CNH
CNY
COP
CRC
CUC
CUP
CVE
CZK
DJF
DKK
DOP
DZD
EGP
ERN
ETB
EUR
FJD
FKP
GBP
GEL
GHS
GIP
GMD
GNF
GTQ
GYD
HKD
HNL
HRK
HTG
HUF
IDR
ILS
IMP
INR
ISK
JMD
JOD
JPY
KES
KGS
KHR
KMF
KPW
KRW
KWD
KYD
KZT
LAK
LBP
LKR
LRD
LSL
LYD
MAD
MDL
MGA
MKD
MMK
MNT
MOP
MRU
MUR
MVR
MWK
MXN
MYR
MZN
NAD
NGN
NIO
NOK
NPR
NZD
OMR
PAB
PEN
PGK
PHP
PKR
PLN
PYG
QAR
RON
RSD
RUB
RWF
SAR
SBD
SCR
SDG
SEK
SGD
SHP
SLL
SRD
SSP
STD
STN
SVC
SYP
SZL
THB
TJS
TMT
TND
TOP
TRY
TTD
TWD
TZS
UAH
UGX
UYU
UZS
VES
VND
VUV
WST
ZAR
ZMW
ZWL
America's Social Casino
Market Cap
24h Vol
13105
Cryptocurrencies
60.37%
Bitcoin Share
CoinDesk 2025-03-18 07:46:47

Bitcoin Storm Could Be Brewing, Crypto OnChain Options Platform Derive Says

Bitcoin Storm Could Be Brewing, Crypto OnChain Options Platform Derive Says

The calm that has returned to the bitcoin (BTC) market may be short-lived, potentially setting the stage for a storm that could trigger significant price volatility, according to insights from the decentralized crypto on-chain options platform Derive . Since March 12, BTC has settled in the $80K-$85K range in a consolidation typically seen after a notable directional move. Prices tanked from $100K to under $80K in preceding weeks due to several factors, including President Donald Trump's tariffs and disappointment about the lack of new purchases in the U.S. strategic BTC reserve. With the latest consolidation, key volatility metrics have declined, nearing monthly lows. Volatility, however, is mean-reverting, meaning the low-volatility regime could soon pave the way for price turbulence, according to Derive. "BTC’s weekly at-the-money (ATM) volatility has dipped below 50% to 49%, approaching monthly lows of 45%. Realized volatility has also dropped from 91% at the start of the month to 54% today," Nick Forster, founder of Derive, wrote in a recent note shared with CoinDesk. It is important to remember that volatility is price agnostic, meaning that the expected increase in volatility does not indicate the direction of the price movement in bitcoin. “Volatility is mean-reverting, so we can expect it to rise soon, likely to levels seen in February (60-70%)," Forster added. Whether prices rise or fall, volatility can increase, suggesting that significant price swings could occur in either direction. According to Derive, several factors could trigger volatility, including "a ceasefire (or lack thereof) in Ukraine, or significant shifts in crypto regulatory policy under the Trump administration." Derive is the world's leading on-chain AI-powered options protocol with a total value locked of nearly $100 million. The protocol has registered a cumulative trading volume of $15 billion to date. Wednesday's Federal Reserve rate decision could move markets as well. The central bank is likely to keep rates unchanged, with traders pricing two to three rate cuts later this year. But a dovish surprise could recharge bulls' engines for a sharp move higher. Potential Fed rate cuts, however, could be limited, according to BlackRock. "Markets have priced in about two to three 25 basis point rate cuts this year, versus expectations for just one earlier this year. We think this reflects U.S. recession fears even though economic condition don’t point to a downturn. Even if prolonged uncertainty hurts growth, we still see persistent inflation limiting how much the Fed can cut," BlackRock said in a weekly note. The expected volatility boom could happen to the downside should equity markets continue to fall, accelerating the decline in crypto prices.

Most Read News

Market Cap
24h Vol
60.37%
Bitcoin Share
481
Today News
Read the Disclaimer : All content provided herein our website, hyperlinked sites, associated applications, forums, blogs, social media accounts and other platforms (“Site”) is for your general information only, procured from third party sources. We make no warranties of any kind in relation to our content, including but not limited to accuracy and updatedness. No part of the content that we provide constitutes financial advice, legal advice or any other form of advice meant for your specific reliance for any purpose. Any use or reliance on our content is solely at your own risk and discretion. You should conduct your own research, review, analyse and verify our content before relying on them. Trading is a highly risky activity that can lead to major losses, please therefore consult your financial advisor before making any decision. No content on our Site is meant to be a solicitation or offer.