Analysis: Institutions are overly optimistic about the crypto market, and history suggests that the bottom has not yet arrived.

BTC-0,12%

PANews February 10 News, Greeks.live macro researcher Adam posted on the X platform that the crypto market has stabilized somewhat, with a significant decline in the implied volatility (IV) of major maturities. However, the actual volatility (RV) over the past week remains relatively high, resulting in a record average decrease of 45% in the one-week VRP. Specifically, the data shows a drop from last week’s +20% level to the current -25% level, a rare phenomenon. This indicates that the market is rapidly reducing its volatility expectations, and the pace may be too fast, as Bitcoin’s volatility tends to be highly clustered. Institutions are somewhat overly optimistic about the market, and this recklessness could be very passive if a second wave of decline occurs. The irrationality in the options market has clearly increased, and institutions have been confused by recent market movements. Historically, such situations often indicate that the bottom has not yet arrived.

View Original
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to Disclaimer.

Related Articles

Minnesota Weighs Total Ban on Bitcoin and Crypto ATMs

In brief Lawmakers in Minnesota are considering a total ban on crypto ATMs. The state passed a regulatory framework for the machines in 2024. Countries like New Zealand have recently imposed sweeping bans. Lawmakers in Minnesota are considering a total ban on crypto ATMs, with

Decrypt51m ago

Buying Bitcoin? Hold at least 3 years to avoid losses, data shows

Bitcoin (CRYPTO: BTC) has repeatedly tested patient investors, and a long-hold thesis appears increasingly robust when examined through multi-year price histories. A Bitwise Europe study looking at BTC’s price data from mid-2010 through early 2026 finds that the odds of ending a multi-year

CryptoBreaking1h ago

Crypto Taxes Updated: Bitcoin Stuck Below $70K – Month in Charts

February’s tax-policy dialogue around crypto expanded across several jurisdictions, underscoring a global shift toward clearer reporting and new levies on digital assets. The year’s early momentum included a critical test for Bitcoin (CRYPTO: BTC), which struggled to reclaim the $70,000 level as pol

CryptoBreaking1h ago

Analysis: The crypto community's concerns that Iran's cutoff of oil supplies could disrupt the market may be exaggerated.

Despite concerns that Iran might block the Strait of Hormuz to impact oil supplies, experts believe this worry is exaggerated. A blockade would not align with Iran's interests, and geographical conditions limit its feasibility. Nevertheless, a full-scale war could still trigger market risk sentiment.

GateNews1h ago

In the past 24 hours, the entire network's contract liquidations reached $382 million, mainly from long positions.

PANews February 28 News, CoinAnk data shows that in the past 24 hours, the total liquidations in the cryptocurrency market across all contracts reached $382 million, including $277 million in long positions and $105 million in short positions. The total liquidation amount for BTC was $148 million, and for ETH it was $90.29 million.

GateNews2h ago
Comment
0/400
SiYuvip
· 02-10 01:04
New Year Wealth Explosion 🤑
View OriginalReply0
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)