Short-Term Volatility Low

Definition ∞ Short-term volatility low indicates a period of reduced price fluctuation for a digital asset over brief timeframes. This condition suggests a temporary equilibrium between buying and selling pressures, leading to tighter trading ranges. It often precedes a significant price movement, as market forces build before a breakout. Such periods are typically characterized by lower trading volumes.
Context ∞ Many digital assets are currently experiencing short-term volatility low, which is leading analysts to anticipate a substantial price movement in the near future. This phase presents both opportunities and risks, as the direction of the next breakout is uncertain. Traders are closely monitoring technical indicators for clues.