According to Glassnode analysts, the realized volatility for Bitcoin and Ethereum has fallen to extreme lows, which has been historically preceded by explosive moves in either direction.
The company’s analysts have noted that in nine similar cases, after such a low realized volatility on the horizon of the month, a wave of growth was observed, and only in one – a decrease with a fall of 50%.
Ethereum has previously recorded only three similar episodes of extremely low volatility (39.8%). In particular, in November 2018, a 58% collapse followed, in July 2020 – an increase to a historical maximum.
After the collapse of crypto exchange FTX, there was a short-term spike in the metric of new Bitcoin addresses, followed by a return to the average annual base level. The daily volume of on-chain transfers has collapsed to pre-2020 bull market levels.