The Bitcoin volatility index rose to 65.36 yesterday, with a single-day increase of 3.3%
On December 25, the BitVol (Bitcoin Volatility) index launched by financial index company T3 Index in conjunction with options trading platform LedgerX rose to 65.36, a single-day increase of 3.3%.
BlockBeats note: The BitVol index measures the expected implied volatility derived from tradable Bitcoin option prices over 30 days. Implied volatility refers to the volatility implied by actual option prices. It is calculated using the B-S option pricing formula, substituting actual option prices and other parameters into the formula except for volatility σ.
The actual price of an option is formed through competition among many options traders, therefore, implied volatility represents market participants' views and expectations about future markets and is considered as closest to real-time volatility at that time.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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