The BitVol Bitcoin Volatility Index reached a record low of 37.08 on August 7, a decrease of 0.96% compared to August 5.
BlockBeats reported that the BitVol (Bitcoin Volatility) Index, developed by financial index company T3 Index and Bitcoin options trading platform LedgerX, reached an all-time low of 37.08 on August 7. This marked a 0.96% drop compared to August 5.
The BitVol Index measures the 30-day expected implied volatility derived from tradable Bitcoin options prices. Implied volatility reflects the actual option price and represents market participants' views and expectations about the market's future. It is generally considered the closest approximation of market volatility at a given time. The record low in the BitVol Index suggests a decrease in expected price fluctuations for Bitcoin, which can be seen as a sign of stabilization in the cryptocurrency market.