Evaluating Bitcoin’s Risk-On Tendencies – Bitcoin Magazine: Bitcoin News, Articles, Charts, and Guides


The below is an excerpt from a recent edition of Bitcoin Magazine Pro, Bitcoin Magazine’s premium markets newsletter. To be among the first to receive these insights and other on-chain bitcoin market analysis straight to your inbox, subscribe now.

Bitcoin’s Correlation With Volatility

Bitcoin is much more than an “inverse VIX” but that doesn’t stop the market from trading it as such. (“VIX is the ticker symbol and the popular name for the Chicago Board Options Exchange’s CBOE Volatility Index, a popular measure of the stock market’s expectation of volatility based on S&P 500 index options.”)

As Bitcoin’s education, adoption and monetization carries on, fundamentals and network growth will be the more important driver of price appreciation. But in the current environment, risk-off market signals and broader market volatility are in the driver seat.

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