Bitcoin News: Volatility Hits Historic Low, Boosting Investor Confidence

Bitcoin, once the wild child of the financial world, is growing up. Its notorious price swings are calming down, and investors are taking notice. In fact, in an interesting news, Bitcoin volatility has hit a historic low, according to a recent report by Ark Invest.

This newfound stability is fueling confidence among investors, including big players like Ark Invest, who are pouring millions into the cryptocurrency.

A Calmer Bitcoin Volatility

Volatility measures how much an asset’s price fluctuates over time. High volatility means big price swings, which can be risky for investors. Bitcoin has long been known for its rollercoaster-like price movements, but that’s changing.

Ark Invest’s Big Ideas 2025 report reveals that Bitcoin’s one-year rolling volatility has dropped below 50%, the lowest level since tracking began in 2011. This decline suggests that Bitcoin is maturing as an asset, becoming more stable and predictable.

Despite its calming volatility, Bitcoin hasn’t lost its luster. In 2024, it delivered a 122.2% return, far outpacing traditional assets.

Gold, often seen as a safe haven, returned 26.6%, while equities gained 19.2%. Bonds, on the other hand, posted a negative return of -3.1%.

Over the past five years, Bitcoin’s compound annual growth rate (CAGR) was 67.2%, dwarfing gold’s 10.4% and equities’ 11.7%. These numbers, sourced from Ark Invest’s report, highlight Bitcoin’s superior performance.

Bitcoin News: Ark Invest Doubles Down on BTC

Ark Invest isn’t just observing Bitcoin’s transformation; they’re actively participating. On March 13, 2025, the firm purchased 997 BTC worth approximately $80 million via Coinbase.

This was followed by additional purchases of $130.2 million on April 3 and $11.3 million later. These transactions, tracked by Arkham Intelligence, signal Ark Invest’s strong belief in Bitcoin’s future.

Their actions reflect growing institutional confidence in the cryptocurrency, bolstered by its decreasing volatility and impressive returns.

As of the latest data from CoinMarketCap, Bitcoin is trading at $83,694, down 2.21% in the last 24 hours. Its market cap stands at $1.65 trillion, with a daily trading volume of $27.52 billion, a 6.65% decrease.

Despite a recent peak above $85,500 on April 15, Bitcoin experienced a decline, briefly dropping below $83,000 before recovering slightly.

With 19.85 million BTC in circulation out of a maximum of 21 million, the volume-to-market cap ratio is 1.61%, indicating moderate liquidity.

Bitcoin’s historic low in volatility is a game-changer. It’s attracting investors who were previously wary of its price swings. Ark Invest’s significant purchases underscore this newfound confidence.

While short-term price fluctuations continue, the long-term trend points to a more stable and mature asset. As Bitcoin continues to evolve, it may well redefine its role in the global financial landscape.

BTC Price Analysis

Bitcoin’s outlook is brightening. Binance, the leading crypto exchange, shows buyers overtaking sellers. The Binance Taker Buy Sell Ratio hit 1.008 on April 15, signaling bullish sentiment, per CryptoQuant’s DarkFost. Above 1, buyers dominate; below 1, sellers do. This shift hints at growing trader confidence for Bitcoin, priced at $83,694.

Crypto analyst Darkfost noted a recent uptick in positive sentiment on Binance’s derivatives market. Over the past few days, the funding rate ratio has leaned bullish, hitting above 1.1 on April 14 when Bitcoin price traded over $86,000. This suggests growing optimism among traders.

According to CoinGlass, a Bitcoin climb back to $85,000 could trigger $637 million in short position liquidations. Market signals also point to investors favoring Bitcoin over altcoins, reinforcing its dominance. This Bitcoin news has definitely favored price momentum.