BITCOIN AND ETHER NOW LESS VOLATILE THAN OIL: REPORT
For years, Bitcoin (BTC) and Ethereum (ETH) have been synonymous with wild price swings and nail-biting volatility. [ad_1]The Bitcoin (BTC) and Ether (ETH) 90-day price volatility hit a new multi-year low in August as the top two cryptocurrencies continue to trade under their key resistance of $30,000 and $2,000 respectively.According to data shared by crypto anaThe crypto market, known for its 24/7 trading and decentralized nature, has often been compared to a rollercoaster. [ad_1]The Bitcoin (BTC) and Ether (ETH) 90-day price volatility hit a new multi-year low in August as the top two cryptocurrencies continue to trade under their key resistance of $30,000 and $2,000, respectively.According to data shared by crypto anBut what if the ride is starting to smooth out? According to data shared by crypto analytic firm Kaiko, the 90-day volatility of BTC and ETH hit 35% and 37% respectively making it less volatile than oil with volatility of 41%. Such a decline in the price momentum of the top two crypto assets was last seen in 2025.According to recent data, that might just be the case. According to data shared by crypto analytic firm Kaiko, the 90-day volatility of BTC and ETH hit 35% and 37%, respectively, making it less volatile than oil, with volatility of 41%.A new report from crypto analytics firm Kaiko suggests that Bitcoin and Ether now exhibit less volatility than oil, a commodity traditionally considered far more stable.This unexpected shift has significant implications for the future of cryptocurrency, potentially opening the doors to wider adoption and institutional investment. Per new data from Kaiko research, 90-day-volatility indexes for Bitcoin (BTC) and Ethereum (ETH) have hit multi-year lows, dropping 35% and 37%, respectively. This now makes the top digital assets less volatile than oil, which sits at 41%. Market volatility is the frequency and magnitude of price movements, up or down.This change in volatility could also mean that the market is about to shift in a big way. Bitcoin Slides Below $106K; Analyst Sees Ether Breakout Looming Despite the pullback, BTC holding above the round-number $100,000 level for 20 consecutive days is a bullish sign, LMAX Group marketIs this the calm before the storm? The Bitcoin (BTC) and Ether (ETH) 90-day price volatility hit a new multi-year low in August as the top two cryptocurrencies continue to trade under their key resistance of $30,000 and $2,000, respectively. According to data shared by crypto analytic firm Kaiko, the 90-day volatility of BTC and ETH hit 35% and 37%, respectively, making it less volatile than oil, with volatility of 41%. Such aOr is this a sign that Bitcoin and Ether are maturing as assets?
This article will delve into the details of the Kaiko report, exploring the factors driving this newfound stability and the potential consequences for the crypto market and beyond.We'll also examine historical trends and expert opinions to provide a comprehensive understanding of this evolving landscape.Understanding volatility is crucial for all investors, and this report suggests now is a time to re-evaluate portfolios. Business, Economics, and Finance. GameStop Moderna Pfizer Johnson Johnson AstraZeneca Walgreens Best Buy Novavax SpaceX Tesla. CryptoThe key takeaway: the risk profile of Bitcoin and Ether might be changing, and that calls for a fresh look at these assets.
Understanding Volatility: What Does It Mean?
Market volatility refers to the degree of price fluctuations in a financial asset over a specific period. Bitcoin price went through a similar cycle of low price volatility in 2025 before the bull market picked up. Bitcoin and Ether now less volatile than oil: Report КриптовалютыIt's essentially a measure of how much the price of an asset tends to move up or down. According to data shared by crypto analytic firm Kaiko, the 90-day volatility of BTC and ETH hit 35% and 37% respectively making it less volatile than oil with volatility of 41%. Such a decline in the price momentum of the top two crypto assets was last seen in 2025. 90-day price volatility of Bitcoin, Ether and Oil. Source: KaikoHigh volatility indicates large and frequent price swings, while low volatility suggests relatively stable prices. BTCUSD Bitcoin Bitcoin and Ether now less volatile than oil: Report Technical analysts suggest that months of low volatility is often followed by a big price move.Volatility can be influenced by various factors, including:
- Economic news: Announcements about inflation, interest rates, or economic growth can trigger market volatility.
- Geopolitical events: Political instability, wars, or trade disputes can create uncertainty and impact asset prices.
- Company-specific news: Earnings reports, product launches, or management changes can affect the stock price of individual companies.
- Market sentiment: Investor confidence and risk appetite can play a significant role in driving market volatility.
In the context of cryptocurrency, volatility has historically been driven by factors such as regulatory uncertainty, technological developments, and the relatively small size of the market compared to traditional assets.
Kaiko Report: Bitcoin and Ether's Volatility Decline
The Kaiko report highlights a significant trend: the 90-day volatility of Bitcoin (BTC) and Ether (ETH) has reached multi-year lows. Technical analysts suggest that months of low volatility is often followed by a big price move. The Bitcoin (BTC) and Ether (ETH) 90-day price volatility hit a new multi-year low in August as the top two cryptocurrencies continue toAccording to their data, the 90-day volatility of BTC hit 35%, while ETH reached 37%.In comparison, oil's volatility stood at 41% during the same period.This means that, over the past 90 days, the prices of Bitcoin and Ether have fluctuated less than the price of oil.
This development is particularly noteworthy given the historical volatility associated with cryptocurrencies.Bitcoin and Ether have long been known for their rapid price swings, often experiencing double-digit percentage changes in a single day.The fact that their volatility is now lower than that of oil suggests a potential shift in the market dynamics.
Key Findings from the Report:
- Multi-Year Lows: The 90-day volatility of BTC and ETH is at its lowest point in several years.
- Outpacing Oil: Bitcoin and Ether are now less volatile than oil, a traditional commodity market.
- Potential Maturation: The reduced volatility may indicate a maturation of the cryptocurrency market.
Factors Contributing to Reduced Volatility
Several factors could be contributing to the decreased volatility observed in Bitcoin and Ether:
- Increased Market Maturity: As the cryptocurrency market grows and matures, it becomes less susceptible to extreme price swings.The increasing participation of institutional investors, who tend to have a longer-term investment horizon, can help stabilize the market.
- Greater Liquidity: Liquidity refers to the ease with which an asset can be bought or sold without significantly affecting its price.Increased liquidity in the Bitcoin and Ether markets means that larger trades can be executed without causing significant price fluctuations.
- Regulatory Clarity: While regulatory uncertainty remains a concern for the cryptocurrency market, there has been some progress in clarifying the regulatory landscape in certain jurisdictions.This increased clarity can reduce investor uncertainty and contribute to greater stability.
- Broader Adoption: As Bitcoin and Ether become more widely adopted as payment methods and stores of value, their prices may become less sensitive to speculative trading.
Historical Perspective: Bitcoins Volatility Cycles
It's important to note that Bitcoins price history has been characterized by cycles of high and low volatility. Related Posts Concerning precedent bloXroute Labs MEV SEC delays several Ethereum ETFs, pushing final Former Lido holder files class action lawsuit The Bitcoin (BTC) and Ether (ETH) 90-day price volatility hit a new multi-year low in August as the top two cryptocurrencies continue to trade [ ]Similar periods of low volatility have been observed in the past, often preceding significant price movements.
For example, the research snippets mention a similar period of low price volatility in 2025 before a bull market picked up.This historical precedent suggests that the current period of reduced volatility could be a precursor to a significant price move in either direction.
Volatility and Price Movements: A Historical Connection
Technical analysts often point out that prolonged periods of low volatility are frequently followed by significant price breakouts. 25 subscribers in the CryptoBreakingDotCom community. Breaking crypto news about Bitcoin, Ethereum, Blockchain, NFTs, DeFi and Altcoins. Get instantThis is because low volatility can indicate a build-up of energy in the market, which eventually needs to be released. Bitcoin and Ethereum, well-known for their erratic price fluctuations, appear to be experiencing a period of reduced volatility.The direction of the breakout is often difficult to predict, but the magnitude of the move can be substantial.
Therefore, investors should be prepared for the possibility of a significant price swing in Bitcoin and Ether, even if the current market conditions appear relatively calm. Technical analysts suggest that months of low volatility is often followed by a big price move The Bitcoin BTC and Ether ETH 90-day price volatility hit a new multi-year low in August as the top two cryptocurrencies continue toThe reduced volatility does not guarantee future stability; it simply indicates a period of consolidation before a potential breakout.
Bitcoin and Ether's Key Resistance Levels
The provided research snippets also mention that Bitcoin (BTC) and Ether (ETH) are currently trading under their key resistance levels of $30,000 and $2,000, respectively.These resistance levels represent price points that the assets have struggled to break above in the past.
Breaking through these resistance levels could signal a continuation of the bullish trend, while failing to do so could lead to further price declines.Therefore, these levels are important to watch for traders and investors.
Implications for Investors
The reduced volatility of Bitcoin and Ether has several implications for investors:
- Reduced Risk: Lower volatility generally translates to lower risk, making Bitcoin and Ether potentially more attractive to risk-averse investors.
- Diversification Benefits: The decreased correlation between Bitcoin and Ether and other asset classes, such as oil, could make them valuable diversification tools for portfolio construction.
- Potential for Long-Term Growth: As the cryptocurrency market matures and volatility decreases, Bitcoin and Ether could become more widely accepted as long-term investments.
However, it's important to remember that investing in cryptocurrency still carries significant risks.The market remains relatively young and is subject to regulatory uncertainty and technological disruptions.Investors should carefully consider their risk tolerance and conduct thorough research before investing in Bitcoin or Ether.
Expert Opinions and Analysis
LMAX Group market technical analysts have noted that Bitcoin holding above the round-number $100,000 level (in contexts where the price is at this level, or projecting to reach it) for 20 consecutive days is a bullish sign, indicating strong investor confidence.While this contradicts the earlier price levels given in the snippets of $30,000 and $2,000, the general sentiment of holding above key psychological levels remains the same.
The key takeaway is that despite short-term pullbacks, maintaining price levels above significant round numbers suggests underlying strength in the market.This suggests that Bitcoin may be poised for further gains in the near future.The analysts suggest that months of low volatility is often followed by a big price move.
Bitcoin Slides Below $106K; Analyst Sees Ether Breakout Looming
While Bitcoin has experienced a slight pullback, analysts are also closely watching Ether for a potential breakout.The combination of reduced volatility and positive technical indicators suggests that Ether could be poised for significant gains in the near future.
Strategies for Navigating Low Volatility Markets
Low volatility markets can be challenging for traders, as opportunities for quick profits may be limited.However, there are several strategies that investors can use to navigate these conditions:
- Focus on Long-Term Investments: Low volatility markets can be a good time to accumulate assets for the long term, as prices may be relatively stable.
- Consider Dollar-Cost Averaging: Dollar-cost averaging involves investing a fixed amount of money at regular intervals, regardless of the price.This strategy can help reduce the impact of short-term price fluctuations.
- Use Options Strategies: Options strategies, such as covered calls or protective puts, can be used to generate income or protect against downside risk in low volatility markets.
- Be Patient: Low volatility markets often require patience.It's important to avoid making impulsive decisions and to stick to your long-term investment plan.
Potential Risks and Challenges
Despite the potential benefits of reduced volatility, there are also some risks and challenges to consider:
- False Sense of Security: Low volatility can lull investors into a false sense of security, leading them to take on excessive risk.
- Unexpected Shocks: The cryptocurrency market is still susceptible to unexpected shocks, such as regulatory changes or technological disruptions, which can trigger sudden price swings.
- Opportunity Cost: In low volatility markets, investors may miss out on opportunities to generate higher returns in more volatile asset classes.
How to Prepare for Potential Volatility Spikes
While Bitcoin and Ether may be experiencing a period of lower volatility, it's crucial to be prepared for potential spikes.Here are some steps you can take to mitigate risk:
- Diversify Your Portfolio: Don't put all your eggs in one basket.Diversify your investments across different asset classes to reduce your overall risk exposure.
- Set Stop-Loss Orders: Stop-loss orders automatically sell your assets if they reach a certain price level, limiting your potential losses.
- Stay Informed: Keep up-to-date on the latest news and developments in the cryptocurrency market to anticipate potential volatility spikes.
- Manage Your Emotions: Avoid making impulsive decisions based on fear or greed.Stick to your investment plan and manage your emotions effectively.
The Future of Cryptocurrency Volatility
The long-term trajectory of cryptocurrency volatility remains uncertain.While the current trend suggests a potential maturation of the market, it's important to remember that cryptocurrency is still a relatively new and evolving asset class.Several factors could influence future volatility, including:
- Regulatory Developments: Regulatory changes could have a significant impact on cryptocurrency prices and volatility.
- Technological Innovations: Breakthroughs in blockchain technology could lead to increased adoption and reduced volatility.
- Macroeconomic Conditions: Economic factors, such as inflation and interest rates, could also affect cryptocurrency volatility.
Answering Common Questions About Crypto Volatility
Q: Is Bitcoin becoming a stable store of value?
While recent data suggests lower volatility compared to oil, Bitcoin is still not considered a completely stable store of value.Its price can still fluctuate significantly, though less wildly than in its earlier days.Further maturation and wider adoption are needed for it to become a true safe-haven asset.
Q: Should I invest in Bitcoin or Ether now that they are less volatile?
Investing in any asset, including Bitcoin or Ether, should be based on your individual risk tolerance, financial goals, and investment horizon.The reduced volatility may make them more attractive, but thorough research and understanding of the market are crucial before making any investment decisions.
Q: What are the key indicators to watch for potential volatility changes?
Several indicators can help you anticipate potential volatility changes:
- Trading Volume: A sudden increase in trading volume can indicate increased market activity and potential price swings.
- Volatility Indexes: The VIX (Volatility Index) for traditional markets and similar indexes for crypto can provide insights into overall market volatility.
- News and Events: Keep an eye on news related to regulations, technology advancements, and macroeconomic factors.
Conclusion: A New Era for Bitcoin and Ether?
The report indicating that Bitcoin and Ether now exhibit less volatility than oil marks a significant milestone for the cryptocurrency market.This development could signal a maturation of the market, potentially attracting a wider range of investors and fostering greater stability.Lower volatility may mean reduced risk, diversification benefits, and the potential for long-term growth.However, it's crucial to remain vigilant and recognize that the cryptocurrency market is still subject to unexpected shocks and regulatory uncertainties.Investors should approach this evolving landscape with caution, conducting thorough research, managing their emotions, and staying informed about the latest developments.While the future trajectory of cryptocurrency volatility remains uncertain, this shift suggests that Bitcoin and Ether are entering a new era, one that could redefine their role in the global financial system.Now, it's time to revisit your portfolios and reassess your investment strategies for the future of cryptocurrencies.
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