"The Bitcoin market stabilized in 2025 with the influence of institutional investors."

Decreased Volatility in the Bitcoin Market in 2025

As of 2025, Bitcoin market volatility has significantly decreased. The underlying reason for this change is the use of derivative products by institutional investors to generate returns on their unused assets.

The annualized 30-day implied volatility for Bitcoin has dropped from %70 to %45, showing a notable reduction. The preference for the covered call strategy by institutional investors has supported this situation.

These preferences have led to a continuous premium for put options (bear options) over call options (bull options), due to the increased demand for hedging strategies against bear markets.