Analyst says BTC options IV below 40% may signal a new normal for volatility

Bitcoin has regained $66,000, while implied volatility for options expiring this year has fallen below 40%, a level that could become the new normal in the crypto options market, Greeks.live analyst Adam said on X. Adam said Bitcoin’s recovery to $66,000 was a positive signal and marked its highest level in about two months. At the same time, Adam noted the current price range was an area that had seen heavy trading earlier this year. Adam added that implied volatility for all major expiries this year remained below 40%, indicating investors had adapted to an extremely low-volatility environment. Adam also said the only time IV rose above 50% this year was during the sharp drop in February, while it stayed below 45% for most of the period. Against that backdrop, Adam said current IV levels could become a new benchmark for the crypto options market.