Bitcoin’s Volatility Hits Rock Bottom: Most Stable Prices Since 2023

Bitcoin—the crypto world's rollercoaster—has suddenly turned into a carousel. For the first time in over two years, its price swings have flatlined.

The Calm After the Storm?

No wild 10% daily drops. No manic 20% pumps. Just… stability. Traders are either bored or relieved—depending on how much leverage they’ve stacked.

Why This Matters

Lower volatility could mean institutional money is finally treating Bitcoin like an asset, not a casino chip. Or maybe everyone’s just waiting for the next Elon tweet.

The Ironic Twist

Wall Street spent years calling crypto ‘too risky.’ Now that it’s stable? They’ll probably find a way to short it with synthetic derivatives anyway.

Bitcoin’s Volatility Hits Multi-Year Lows

According to the BVIV index from Volmex, which measures Bitcoin’s 30-day implied volatility, BTC’s volatility has dropped to an annualized 36.5%. This is the lowest since October 2023.

Implied volatility is an estimate of how much an asset is expected to MOVE in the future. It’s often used by traders to price options—financial contracts that allow bets on whether an asset will rise or fall. When implied volatility is low, it means traders aren’t expecting big moves anytime soon.

This is surprising because Bitcoin prices have been climbing significantly since November 2024, moving from $70,000 to over $110,000. Normally, big price jumps are accompanied by higher volatility. But this time, that hasn’t been the case.

What’s Behind the Calm?

One explanation is that traders aren’t rushing to hedge their bets despite ongoing economic concerns like inflation or slowing growth (often referred to as stagflation). This lack of fear is reducing demand for options, which helps drive volatility lower.

Another possible reason is the rise of new financial products, like structured investments that involve selling call options. These are popular with investors who want to earn steady income in exchange for giving up some upside potential. Selling these options tends to push volatility down further, especially when lots of traders are doing it.

This trend is very similar to how traditional stock markets behave. For example, the VIX index—which tracks expected volatility in the S&P 500—also dropped after a recent brief spike. The lower VIX suggests that, like Bitcoin, the stock market is entering a calmer phase, at least for now.

A Major Shift for Bitcoin

Historically, Bitcoin’s volatility and price have moved together—when the price goes up fast, volatility usually spikes, and when the price crashes, it spikes again. But in 2025, that pattern has started to break. Bitcoin’s price is rising, but volatility is not.

This is a big shift in how the market views and trades Bitcoin. It suggests that more investors now see it as a long-term asset rather than just a speculative tool. As institutions and large financial players enter the space, they bring more structure and stability to the market.

In many ways, Bitcoin is beginning to mirror Wall Street. During steady bull markets in traditional finance, volatility tends to fall because traders feel confident. That’s what seems to be happening with Bitcoin now.

Calm Before the Storm?

Still, not everyone sees this calm as a good thing. Low volatility could be a sign that investors are becoming too relaxed—or even complacent. In markets, long periods of quiet often come before big moves, either up or down.

If macroeconomic conditions worsen or if major events (like regulatory changes or central bank decisions) shake markets, Bitcoin could see a sudden return of volatility. And because the current low-volatility environment has caused many traders to drop their hedges, a sharp move could catch them off guard.

Some analysts say a “short, sharp dip” in Bitcoin might be healthy. It could shake out weaker hands and set the stage for the next leg of the bull run.

What’s Next?

For now, Bitcoin continues to trade in a tight range between $110,000 and $120,000. Investors seem to be waiting for the next big catalyst before making any bold moves.

The market is in what Glassnode calls a “relatively balanced position.” About 70% of recent Bitcoin buyers are still in profit, but short-term holders have slowed down their selling. That’s another sign of confidence—or perhaps hesitation—as the price stabilizes.

Overall, Bitcoin’s behavior in 2025 shows it’s growing up. It’s no longer just a high-risk gamble but is starting to behave like a traditional financial asset. Whether that’s good or bad depends on your view, but one thing is clear: the market is changing.