"Bitcoin Market Became Stable in 2025 with the Influence of Institutional Investors"

Decreased Volatility in the Bitcoin Market in 2025

As of 2025, the Bitcoin market has seen a noticeable decrease in volatility. The main reason for this change lies in institutional investors using derivative products to generate returns from their idle assets.

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

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