NewsBTC
No Result
View All Result
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Breaking News: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning
  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play GamesTry
  • CasinosTry
Bitcoin News
No Result
View All Result
Breaking News: Bitcoin Hits ATH Of $112,000, Expert Predicts Rally Is Just Beginning

Bitcoin Grows in Periods of Low Equity Market Volatility: Report

Davit Babayan
Davit Babayan
5 years ago
2 mins read
bitcoin, vix

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Bitcoin exhibits no correlation with traditional asset classes. But it is gradually developing a relationship with the volatility derived from the US equity market, according to Kevin Kelly of New York-based analytics firm Delphi Digital.

The chartered financial analyst said in a report that bitcoin tends to perform better during periods of low volatility, as represented by VIX Index, a measure of the US stock market’s volatility derived from real-time S&P 500 index options. Citing bitcoin’s bull run in 2017, Kelly noted that VIX was low in the same year, reflecting one of the least volatile years for US stocks. Nevertheless, after when bitcoin price peaked and corrected downwards later, VIX spiked to its highest level since August 2015.

“The relationship is far from perfect, but we’ve seen multiple instances where a rise in market volatility corresponded with a pullback or sell-off in BTC,” wrote Kelly. “This is a significant trend to monitor since the end of cycles usually bring more considerable uncertainty and asset price volatility.”
bitcoin, vix
Bitcoin vs. VIX Correlation | Image credits: Cboe

This year in August, the correlation between VIX and Bitcoin came near its highest level since January 2017. A week back before the occurrence, bitcoin had established its year-to-date high of around $14,000. The VIX Index, at the same time, was trending lower, signifying low volatility in US stocks options.

Cryptocurrency exchange OKEx said in a note Gold exhibited a positive correlation with bitcoin in lines with VIX, adding that Dow Jones had a negative relationship with the cryptocurrency.

“Investors should cross-reference the correlation data before making any trade decision,” the Malta firm reminded.

Irregularity

Low volatility in US equities tends to push traders and investors to assets showing a higher level of price swings. Kelly noted that in 2017, speculators started moving to bitcoin and other cryptocurrencies as US options became motionless. The analyst indicated that traders wanted to test bitcoin partially because it was a non-correlated and nascent asset at that time. And favorable media reports were projecting its technology – the blockchain – as revolutionary.

“This was a key catalyst for many FX and derivatives traders getting interested in bitcoin and crypto in the first place,” wrote Kelly.

The VIX Index is now going lower as investors digest the prospects of a string of macroeconomic risk, including the ongoing US-China trade dispute, central bank rate cuts, and quantitative easing programs. Bitcoin, on the other hand, is consolidating sideways insider a broader triangle pattern. That shows the cryptocurrency is breaking its positive correlation with the VIX Index. OKEx notes:

“Many of the time that BTC and the VIX were in an inverse relationship back in 2018, and the way how they relate to each other has regularly been shifting. So, the ideal strategy would be using aggregated data, such as the combinations of other correlations and exchange/asset flow data, to achieve positive results.”

Tweet123Share218ShareSend
Davit Babayan
Davit Babayan

Davit Babayan

Davit Babayan is an Armenia-based expat balancing the academic life of a software design engineer with the experiences of a financial technology journalist. He aspires to be a full-time columnist and wants to write a book that would be called, "A Homeless Who Found Bitcoin."

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Related News

비트코인 12만 돌파... 99비트코인 보고서가 짚은 '2025 상승장의 핵심 동력'

비트코인 11만 돌파… 99비트코인 2분기 보고서가 짚은 ‘2025 상승장의 핵심 동력’

2025년 들어 암호화폐 시장이 가파른 상승세를 보이는 가운데 투자자와 업계의 관심이 다시 한 번 비트코인과 주요 디지털 자산에 집중되고 있다. 이러한 흐름 속에서 99비트코인은 ...

Soyeon Lee 3 hours ago

From Token Chat to 10 Cents: How FUNToken’s Group-Driven Growth Is a Model for Web3 Community Building

A common question that often pops up in people’s minds is whether it is possible for a token community to...

News BTC 3 hours ago
$30B In Bitcoin Added By Accumulator Wallets: Are Long-Term Players Preparing Early?

$30B In Bitcoin Added By Accumulator Wallets: Are Long-Term Players Preparing Early?

Bitcoin has reached a new all-time high once again, surging to $123,200 earlier today, a move that has reignited bullish...

Sebastian Villafuerte 4 hours ago
Load More

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

Related News

Bitcoin

$122,000 And Climbing: Bitcoin Sets New Record As ETFs Drive Demand

Christian Encila 24 minutes ago
Ethereum Supply Locked Hits New ATH: Smart Money Bets On Long-Term Growth

Ethereum Supply Locked Hits New ATH: Smart Money Bets On Long-Term Growth

Sebastian Villafuerte 1 hour ago
Avalanche

Avalanche Shatters Record With 20M Transactions—Is Real-World Use Finally Here?

Christian Encila 2 hours ago

Premium Sponsors

Press Releases

  • 2 cenovo dostupné kryptomeny s potenciálom 9 000 %, podobne ako kúpa Etherea za 8 dolárov začiatkom roku 2017

    2 cenovo dostupné kryptomeny s potenciálom 9 000 %...

    46 minutes ago
  • 新BTCレイヤー2プロジェクト、仮想通貨プレセールで250万ドルを調達 — 今買うべき暗号資産とは?

    ...

    5 hours ago
  • BTC breaks through $122,300, GoldenMining users earn...

    5 hours ago
  • 仮想通貨 おすすめ|0.0015ドル以下の安価トークンがDOGEを上回り、4ヶ月で0.30ドル到達へ

    仮想通貨...

    5 hours ago
  • 2 criptomonede accesibile cu potențial de 9.000%, asemănătoare cu achiziția Ethereum la 35 lei în 2017

    2 criptomonede accesibile cu potențial de 9.000%...

    5 hours ago

Newsletter

Be the first to get the latest important crypto news & events to your inbox.

  • This field is for validation purposes and should be left unchanged.

About Us

NewsBTC is a cryptocurrency news service that covers bitcoin news today, technical analysis & forecasts for bitcoin price and other altcoins. Here at NewsBTC, we are dedicated to enlightening everyone about bitcoin and other cryptocurrencies.

We cover BTC news related to bitcoin exchanges, bitcoin mining and price forecasts for various cryptocurrencies.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

Company

  • About Us
  • Advertising
  • Contact Us
  • Privacy Center

Social

© 2025 NewsBTC. All Rights Reserved.

  • Cryptocurrency News
    • Bitcoin News (BTC)
    • Ethereum News (ETH)
    • Ripple News (XRP)
    • Shiba Inu News (SHIB)
    • Cardano News (ADA)
    • Dogecoin News (DOGE)
    • Solana News (SOL)
    • Litecoin News (LTC)
    • Avalanche News (AVAX)
    • Polygon News (MATIC)
  • Crypto Prices
    • Binance Coin (BNB) Price
    • Bitcoin (BTC) Price
    • Cardano (ADA) Price
    • Chainlink (LINK) Price
    • Dogecoin (DOGE) Price
    • Ethereum (ETH) Price
    • Litecoin (LTC) Price
    • Polkadot (DOT) Price
  • Crypto Resources & Directory
  • All Crypto
  • Play Games
  • Casinos
Advertise

© 2025 NewsBTC. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.