Bitcoin’s Wild Days May Be Over as Volatility Hits Multi-Year Lows
Once famous for its dramatic swings, Bitcoin is now showing surprising signs of stability.
Market analysts are pointing to a sharp decline in volatility, with data suggesting the world’s largest cryptocurrency is behaving more like a traditional asset than ever before.
A recent chart from Bloomberg’s Eric Balchunas reveals that the iShares Bitcoin Trust (IBIT) now exhibits volatility just 1.28 times that of the S&P 500—a far cry from the 5.7 multiple seen last year. This signals a significant behavioral shift in an asset once synonymous with chaos.
The transformation hasn’t gone unnoticed. Binance Research, in its latest weekly update, highlighted Bitcoin’s growing reputation as a hedge against global turmoil.
They cited a BlackRock study showing that BTC has averaged a 37% gain in the two months following major geopolitical flare-ups since 2020.
Still, despite a recent bounce following global tensions, analysts remain cautious about whether Bitcoin’s newfound calm can translate into lasting strength.
Alexander Zdravkov
Reporter at Coindoo
Alexander Zdravkov is a person who always looks for the logic behind things. He is fluent in German and has more than 3 years of experience in the crypto space, where he skillfully identifies new trends in the world of digital currencies. Whether providing in-depth analysis or daily reports on all topics, his deep understanding and enthusiasm for what he does make him a valuable member of the team.
