Volatility Financial News

According to the latest Coinshares Fund Report, outflows into short Bitcoin (BTC) products have ceased for the first time in fourteen weeks. 

Crypto options exchange Deribit's future-looking Bitcoin (BTC) volatility index — used as a crypto fear gauge of sorts — has reportedly reached its lowest level in two years, indicating a possible lack of price turbulence for Bitcoin in the near future. 

Bank for International Settlements (BIS) said Tuesday that decentralised cryptocurrencies are a «flawed system» and instead supported the development of a centralised alternative. The BIS, regarded as the central bank of central banks, backed «tokenisation» or the conversion of money and other assets into digital tokens that can be traded on programmable platforms, saying it offers the promise of a «major leap» in the financial system. Central banks and regulators have mostly been sceptical if not downright hostile to cryptocurrencies, which were developed using digital blockchains, a technology that allowed for decentralised management of trading assets. Proponents of the technology lauded its decentralised structure and often anonymous transactions that took control out of the hands of government institutions like central banks.

bitcoin investors. Watch. Wait. Don't make the first move. The capricious cryptocurrency's been uncommonly quiet over the past four weeks, bound in the range of $28,452 and $25,800. Even the end of the U.S. debt ceiling saga did little to whet risk appetite. Bitcoin's volatility index is near 64, well below the 2023 peak of 116.5 touched in January, according to CryptoCompare. Overall daily cryptocurrency spot trading volumes — above $20 billion for most of the year — have languished at around $10.6-$12 billion in the last two weeks, data from The Block shows. The data signals a reluctance of investors and traders to take positions in either spot or derivatives, said Noelle Acheson, an economist who has tracked the crypto sector for seven years.

Bitcoin’s (BTC) volatility has dropped toward historically low levels thanks to macroeconomic uncertainty and low market liquidity. However, on-chain and options market data alludes to incoming volatility in June.

Crypto lender Voyager Digital said Wednesday that customers will soon recover about 35% of their cryptocurrency deposits as the company winds down operations after a failed buyout attempt by crypto exchange Binance.US. U.S. Bankruptcy Judge Michael Wiles approved Voyager's liquidation plan at a court hearing in Manhattan, allowing the company to return about $1.33 billion in crypto assets to customers and end its efforts to reorganize under Chapter 11. Customers may be able to make withdrawals by June 1, Voyager's official creditors committee said. Any distribution beyond the initial 35% would depend on the result of future litigation. Voyager filed for bankruptcy protection in July, citing volatility in cryptocurrency markets and a default on a large loan made to crypto hedge fund Three Arrows Capital (3AC).

Here's how Bitcoin (BTC)  traders can profit whether its price move up or down 10% within 55 days.

Bitcoin pushed its way back toward $30,000, extending a recent period of turbulence around the closely watched round-number level. The largest token rose as much as 3.7% on Thursday to trade at $29,469.45, before paring the advance to around $28,930 as of 9:30 a.m.

Derebit’s Bitcoin Volatility Index (DVOL) just fell to 52, its lowest level since the 8th of March.

The central Reserve Bank of Zimbabwe (RBZ) plans to introduce a gold-back digital currency, meant to be used as legal ledger within the country.

Bitcoin's price has surged past the psychologically significant $30,000 mark for the first time since June 2022, providing a sense of relief to Indian crypto investors who have faced significant losses due to market volatility and several high-profile failures such as that of the Terra ecosystem and the collapse of FTX over the past year. The leading digital currency has surged 6.29% in the past 24 hours to reach $30,160 as of 2300 IST on Coinmarketcap. While it has risen by 72.62% in the last 90 days, it remains down by 23.82% year to date. Bitcoin's price spent several weeks consolidating around the $28,000 mark before recently breaking through, continuing its bull run that began at the start of the New Year. «It's a big positive for serious Indian crypto investors who are in it for the long haul,» said Vishal Gupta, a Noida-based crypto investor and influencer.

Cryptocurrency regulation tests aiming to help shape crypto laws in Zambia that simulate the real-world use of crypto are on track to finish by June.

Bitcoin's surprising fast exit from its «crypto winter» has once again put the notoriously volatile digital currency atop the leader-board in the first quarter for being the best-performing asset class by a wide margin. With a roughly 70% gain, Bitcoin is closing out its best quarter since the three months ended March 2021, when it surged some 103%, Bloomberg data show. That vastly outstrips the S&P 500's 5.5% year-to-date advance, the Nasdaq 100's 19% uptick and the iShares 20+ Year Treasury Bond ETF's 5.3% jump. Long-time participants note that volatility is expected — and is even part of the attraction to investors in the relatively embryonic asset class. Bitcoin burst onto the mainstream consciousness with a more-than 1,000% annual gain in 2017, only to post a 74% drop the following year in what became known as a crypto winter. Then after three consecutive annual increases, it tumbled 64% last year amid a series of industry scandals and bankruptcies. «For many crypto market observers, it's not at all a surprise,» said Noelle Acheson, author of the «Crypto Is Macro Now» newsletter, of this year's rally. «All the signs were pointing to a strong price floor starting last November, and it was just a matter of time before either the liquidity narrative changed (which it did in early January) or longer-term investors saw a store-of-value opportunity (which seems to have also happened).»

After the latest update of the infamous artificial intelligence (AI) chatbot ChatGPT-4, the technology has been a buzzword inside and outside the crypto industry. While opinions on the technology may be mixed, companies continue to integrate AI to enhance their user experience.

Crypto derivatives exchange Deribit will soon launch Bitcoin (BTC) volatility futures, giving investors a direct way to measure and trade BTC market volatility. 

Crypto bank Anchorage Digital announced it would be letting go of 75 employees, representing approximately 20% of its workforce, citing regulatory uncertainty in the United States as a factor in its decision.

February is ending, but the 'Alameda Gap' is not.

Finance Ministers and Central Bank Governors Meeting in October 2023, said a finance ministry release. «To complement the ongoing dialogue on the need for a policy framework, the Indian Presidency has proposed a joint technical paper by the International Monetary Fund (IMF) and the FSB, which would synthesise the macroeconomic and regulatory perspectives of crypto-assets. This would help in the formulation of a coordinated and comprehensive policy approach to crypto assets,» it said. In their entirety, the IMF's discussion paper, the policy seminar and the joint IMF-FSB paper are expected to integrate the policy questions pertaining to macro-financial and regulatory perspectives of crypto assets and facilitate a global consensus on a well-coordinated and comprehensive policy approach to crypto assets, it said. Despite the rapid evolution of the crypto universe, there is no comprehensive global policy framework for crypto assets. Given the concerns over greater interconnectedness between crypto assets and the traditional financial sector as well as the complexity and volatility around crypto assets, policymakers are calling for tighter regulation.

In wake of Tuesday’s US Consumer Price Index (CPI) data, which confirmed an expected jump in MoM price pressures and revealed a smaller-than-expected decline in the YoY rate of inflation, Deribit’s Bitcoin Volatility Index (BTC DVol) surprised some analysts by remaining broadly unchanged. The lack of movement in the BTC DVol, which was last at 48 on Wednesday versus 50 on Monday and remains not far above record lows, matches the post-CPI mood seen in the Bitcoin market.

Despite the recent pullback in cryptocurrency markets from multi-month highs hit earlier this month, options markets suggest that traders still have relatively subdued volatility expectations. Deribit’s Bitcoin and Ethereum Volatility Indices both remain close to record lows, according to data provided by The Block going back one year.

A luxury rehabilitation center in Spain has recently added services aimed at treating a relatively new kind of addiction — crypto trading.