VanEck: Recent price movements usually indicate the market is nearing a bottom rather than a top

Jinse Finance reported that investment firm VanEck pointed out that bitcoin's realized volatility (i.e., based on actual observed price fluctuations) has dropped from 80 to 50 over the past month. However, despite the stabilization in price, traders remain cautious and are willing to pay high premiums to maintain positions that can profit when bitcoin prices fall. The report stated: "Traders continue to pay high premiums for downside protection. The total premium for buying put options decreased by 24% month-on-month, but the total premium over the past 30 days was $685 million, still higher than 77% of monthly observations since the beginning of 2025." "When the options market has previously shown such panic sentiment, bitcoin has often rebounded. Although recent price movements can explain the current defensive sentiment, historical experience suggests that this sentiment usually indicates the market is near a bottom rather than a top."