Analyst: Current Bitcoin Volatility Drops to Extreme Low Levels, Signaling an Upcoming Breakout from a Narrow Range oscillation

BlockBeats News, January 13th, CryptoQuant analyst Axel posted on social media that the current market volatility has dropped to an extremely low level, a calm state that often precedes a price breakout from a narrow trading range.

Axel explained that Bitcoin's actual volatility has compressed to 23%, a level that statistically rarely lasts long. Historically, this compressed state usually ends with a sharp expansion in volatility. The period of very low volatility reflects a delicate balance between supply and demand, after which the market usually enters an active phase of liquidity redistribution, accompanied by a significant expansion in price range. However, this indicator does not indicate the direction of the breakout and does not constitute a trading signal.