Bitcoin volatility is around 40 in the current cycle, below previous cycles, according to Schwab Head of Crypto Research Jim Ferraioli. He said in an October 6 Coinage interview that the market is maturing as Bitcoin experiences fewer extreme rallies and deep drawdowns.
That shift is also changing where speculative capital is deployed. Ferraioli said higher-risk demand is moving into DeFi, perpetual futures and prediction markets as Bitcoin becomes a larger and less volatile asset.
The pattern points to a broader division within crypto markets: Bitcoin is taking on a more established role, while traders seeking greater risk are turning to products and ecosystems with more pronounced price and leverage exposure.
Frequently asked questions
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What is Bitcoin's volatility in the current cycle?
Bitcoin's volatility is around 40 in the current cycle, according to Schwab Head of Crypto Research Jim Ferraioli.
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Why is speculative capital moving away from Bitcoin?
Ferraioli said Bitcoin is becoming larger and experiencing fewer extreme rallies and deep drawdowns, making other crypto products more attractive to higher-risk traders.
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Which crypto areas are attracting more speculative activity?
The activity is shifting toward DeFi, perpetual futures and prediction markets.
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What does lower Bitcoin volatility indicate about the market?
It indicates that Bitcoin's market is maturing and taking on a more established role within crypto markets.
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How is crypto market activity becoming more divided?
Bitcoin is developing a more established core role, while traders seeking greater risk are turning to products and ecosystems with higher volatility and leverage exposure.
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