Bitcoin volatility has fallen to its lowest level in more than four months as prices have settled since June’s price peak.
The cryptocurrency’s 30-day volatility measure, according to research from Blockforce Capital and reported by Forbes, hit 47% on Monday – the index’s lowest reading since May 10. Meanwhile, 60-day volatility hit 54%, also a low since May 10.
Bitcoin's 30-day volatility index | Source: bitvol.info
The readings come as bitcoin’s price has settled into a range between $9,500 and $11,000 during the past month following its peak of $13,930 on June 26.
Other measures also show bitcoin volatility at relatively low levels. The BitMEX Daily Historical Bitcoin Volatility Index, although higher for the last four days, hit a five-month low of 1.01 on Friday, levels not seen since the end of March. Meanwhile, the Bitvol Bitcoin 30-day Volatility Index (chart above) fell to 2.58% – its lowest level since mid May.
Maturing Market
Lower levels of volatility can indicate a market that is seeing waning interest from investors – alternatively, it can suggest a market that is maturing. Many analysts now believe that bitcoin has matured to the extent that it is now being seen by institutional investors as a store of value.
And while volatility is low, there appears to little fall in interest in bitcoin from miners. Data this week have shown the computing power devoted to generating bitcoins hit a new record as potentially thousands of new mining units were brought online.
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