Bitcoin (BTC) is known to be a fleeting asset, but too late this is not the case; Bitcoin has traded in a very tight interval since the end of November, between $ 91,000 and $ 109,000.

In other words, Bitcoin’s volatility has compressed tremendously. According to GLASSNODE data, the 2-week volatility, which gives, where the turbulent asset was in the last two weeks, measures volatility in the last two weeks annually to an annual 32%, one of the lowest levels this year. In addition, the opportunities that implied a month’s volatility, which is the market’s expectation of volatility over four weeks, slipped below annual 50%, again one of the lowest levels this year.

To put into context how much Bitcoin has been in this sideways consolidation, consider what analyst control mate call is the “choppiness index”. The data shows that Bitcoin on a weekly time frame based on its choppiness is at its highest level since 2015, showing how tight this trading area has been.

Volatility tends to be recurring, which means that an unusually stable market often paves the way for a big step in both directions and vice versa. The longer and tighter the consolidation, the violent the possible volatility explosion.

To cut the long story short, the ongoing spacing game, the most intense since 2015, could soon pave the way for Wild Price Action. Bitcoin will break out of this interval at some point; The question is still whether it will go higher or lower.