Amid Bitcoin’s (BTC) ongoing price revival, the asset is about to enter a phase of uncertainty as experts highlight what to expect.
According to CryptoQuant’s Axel Adler Jr. via X, Bitcoin’s Realized Volatility metric is at its lowest level as traders anticipate further movement. The Realized Volatility metric indicates how unstable an asset’s price is within a given period.
Per Adler’s X post, Bitcoin’s 1-week Realized Volatility hovers around 7%. Such low volatility has only been observed ten times in the last six years and indicates an exceptionally tight period of price consolidation for the cryptocurrency.
1-Week Bitcoin Realized Volatility. | Source: CryptoQuant
The implications of this low volatility are significant. Historically, when BTC’s price action has been so stagnant, it is frequently followed by a period of sharp price pumps. According to the expert, the most recent example of this pattern occurred before BTC reached its all-time high. Even though the current low volatility may indicate an impending sharp move, the direction of this move is uncertain.
Given the historical context, the recent consolidation in BTC’s price could signal a significant market shift. However, recent activities involving the defunct exchange Mt. Gox have caused distortions in several on-chain metrics.
Axel posited that these movements have resulted in false signals across several metrics. One such metric is the Bitcoin Adjusted Spent Output Profit Ratio (aSOPR), which measures the net profit or loss experienced by investors across the network.
Chart Showing aSOPR Depiction of Profit and Loss. | Source: CryptoQuant
The movement of BTC from Mt. Gox wallets, which had been inactive for an extended period, has resulted in a rise in the aSOPR. This increase is due to the large amount of “realized” profit from these long-dormant assets, even though it does not reflect an actual profit-taking activity. As a result, Axel noted that this distortion does not reflect actual market sentiment and is not a sign of widespread investor profit-taking and capital inflow.
BVI, Tortola, 9th July 2025, ZEX PR WIRE, LunarBet has officially opened its $LUNR token…
British Virgin Islands, BVI, 7th July 2025, ZEX PR WIRE, Enterprise-level adoption of AI agents…
Austin, Texas, 8th July 2025, In a sea of overstimulating preschool content, a new YouTube…
Singapore, 8th July 2025, ZEX PR WIRE, Big news: ROM: GoldenAge—the hottest upcoming blockchain strategy…
This partnership brings new IP and creative assets onchain to power new forms of collaborative…
Sharjah, UAE, 5th July 2025, ZEX PR WIRE, TR.ENERGY is a high-tech decentralized platform for efficient…