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Showing posts with the label volatility

Is the altcoin season here? How to trade small-cap coins amid high volatility

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As Bitcoin hits resistance, a new wave of altcoins like Solana, Injective, and Chainlink are surging ahead. Is this the dawn of a new altcoin era? Bitcoin might have pulled the crypto market from its multi-month sluggishness, but the big winners right now are altcoins, as many cryptocurrencies have outperformed BTC during the last few weeks. Does the crypto market ignite the engine for another altcoin season? How to benefit from this rally? We’re about to figure it out in this post. Altcoins perform great in Q4 Altcoins – digital assets other than Bitcoin – have demonstrated great returns in the last quarter of the year, and some of them took off earlier than that. While Bitcoin has gained over 40% since mid-September to consolidate above $35,000, Solana’s (SOL) value has tripled, while Injective (INJ) and Chainlink (LINK) have surged by 150%. Avalanche (AVAX), Aave (AAVE), Polygon (MATIC), and Cardano (ADA) have also outperformed Bitcoin during the last 60 days. Bitcoin and Altcoin’s...

Betting on turmoil: Deribit launches Bitcoin volatility futures

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Volatility products are popular with traditional investors, as they enable portfolio hedging, risk management and speculation. Crypto derivatives exchange Deribit will soon launch Bitcoin (BTC) Volatility futures , giving investors a direct way to measure and trade BTC market volatility .  On March 17, Deribit introduced BTC DVOL futures — a derivatives contract built on the Deribit Bitcoin Volatility Index, which measures the implied volatility of the largest cryptocurrency. Deribit’s volatility gauge provides a 30-day outlook on investors’ expectations for annualized volatility. Like other volatility products, BTC DVOL can potentially help traders with risk management, portfolio hedging or market speculation. Volatility-as-an-asset is widely traded in traditional finance, with the most popular product being the Chicago Board Options Exchange Volatility Index, also known as VIX. The VIX fluctuates on a scale of 1-100, with 20 representing the historical average. Readings below 20 ...