Volatility Expansion

Definition

Volatility expansion refers to an increase in the degree of price fluctuation of an asset over a given period. This phenomenon indicates that an asset’s price is experiencing larger and more frequent swings, moving further from its average. It often occurs during periods of heightened market uncertainty, significant news events, or increased trading activity. Volatility expansion can present both increased opportunities for profit and greater risks of loss for market participants.

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∞Short-Term Holder Cost

∞Exchange Open Interest

∞Volatility Expansion

Recent Bitcoin Buyers Now Underwater Structural Market Risk Confirmed

When the price drops below the average cost of recent buyers, it signals market-wide loss and triggers a critical structural risk reset.

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∞Leverage Unwound

∞Short-Term Holder Cost

∞Selling Exhaustion

Recent Bitcoin Buyers Now Underwater Confirming Necessary Market Reset

The price break below the short-term investor cost basis means recent buyers are in loss, flushing speculative risk from the market.

A central white toroidal structure anchors a complex decentralized network. Numerous luminous blue crystalline cubes, representing on-chain data and transaction blocks, cluster around it. Several white spheres, acting as network nodes or validators, are interconnected by thin black lines, signifying cryptographic links and transaction pathways. This abstract visualization emphasizes the intricate interoperability and distributed nature inherent in a robust blockchain ecosystem, illustrating how diverse components contribute to data integrity and consensus mechanisms.

∞Volatility Expansion

∞Short-Term Holder Loss

∞Cost Basis Test

Recent Bitcoin Buyers Are in Loss Confirming Market Stress

Recent buyers are underwater as the price fell below their average cost, while large investors are aggressively accumulating.

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∞Futures Funding Rate

∞Realized Cap Resilience

∞Short-Term Holder Realized Loss

Recent Buyer Capitulation Hits FTX Intensity Signaling Market Reset

Short-term investors are realizing losses at the highest daily rate since the 2022 bear market, confirming a deep structural flush.