Bitcoin’s continued volatility compression is intensified with what analyst control buddy calls as “chopped index”, a metric that measures sideways price consolidation.
Former Coindesk Research has highlighted that Bitcoin’s implied volatility remains on perennial low, supporting sideways consolidation at Bitcoin’s price.
This notch reflects Bitcoin’s recent range behavior. In the past few months, Bitcoin has traded between $ 110,000 and its highest height of $ 124,000, currently hovering about $ 113,000.
In a month’s timeframe, according to Checkonchain, the chopped index has risen to 54. The last time it exceeded this level was in early November 2024, just before President Trump’s election victory triggered an increase in Bitcoin to over $ 90,000. At that time, the index peaked at 64. The previous case before it was at the beginning of 2023, at the beginning of the current bull cycle when the index was 57.
This pattern suggests that there may still be room for further consolidation, especially as volatility continues to compress.
The next major macroeconomic catalyst is the US consumer price index (CPI)Scheduled for release at. 12:30 UTC. This can act as a trigger for a volatility outbreak or directional movement.
Coindesk Research from February also noted a longer period, which similarly preceded the fall in prices, which eventually bonded in April around $ 76,000.
