Bitcoin may have already bottomed out near $60,000. Here’s why.

Markets Share Share this article Copy link X icon X (Twitter) LinkedIn Facebook Email Bitcoin may have already bottomed out near $60,000. Here’s why. Implied volatility indicators DVOL and BVIV suggest peak fear has passed, with crypto leading traditional markets in pricing risk. By James Van Straten , Omkar Godbole | Edited by Omkar Godbole Mar 24, 2026, 1:18 p.m. Make us preferred on Google BVIV (TradingView) What to know : DVOL and BVIV reached levels consistent with previous cycle lows, reflecting elevated implied volatility and peak fear typically seen at market bottoms. Bitcoin volatility peaked in February, while the VIX only surged weeks later and remains below prior crisis highs, indicating traditional markets may still be adjusting. Some worry bitcoin BTC $ 70,957.35 could still see a deeper sell-off, but one key indicator suggests the bottom may already be behind us. That indicator is the 30-day implied volatility, which is an options-based measure of expected price turbulence over four weeks. The widely-tracked 30-day implied volatility indices like Deribit's DVOL and Volmex's BVIV surged to 90% in early February when bitcoin crashed to almost $60,000. Historically, similar spikes in volatility have coincided with peak panic and capitulation, marking price bottoms. VIX-like contrary signal Bitcoin's market structure has increasingly mirrored Wall Street since the introduction of spot BTC ETFs in the U.S. in early 2024. In this context, implied volatility has emerged as a “fear gauge” and a contrary indicator similar to the VIX, a real-time indicator measuring expected 30-day volatility of the S&P 500: It typically trends downward in stable markets but spikes sharply during moments of extreme fear that mark major market bottoms. This dynamic was on evident early last month when bitcoin tanked. The resulting panic demand for options, mostly puts, drove DVOL and BVIV skyward to 90% and above in a manner consistent with prior capitulation events, such as August 2024, when prices tanked to and bottomed near $50,000. The same thing in November 2022 when FTX collapsed, resulting in peak fear, sending implied volatility to 90%. At that time, bitcoin bottomed out below $20,000. So, if history is a guide, the bitcoin downtrend that began in October at highs above $126,000 has already ended. DVOL (TradingView) Some might argue that one indicator doesn’t prove much and that’s logical. But what makes it noteworthy is it's established role in traditional markets as a contrary indicator. A super high VIX, well above its long-term average, is generally considered a strong contrarian buy signal for long-term investors, as it represents peak market fear and "panic". In fact, many Wall Street strategies use the VIX as a "background indicator" to trigger systematic equity purchases. For instance, quantitative mean reversion funds use models where a ViX deviating higher significantly from its long-term average triggers an automated increase in equity leverage. Speaking of the VIX, it reached a one-year high of 35% on March 9, nearly a month after the explosion in bitcoin volatility,. The VIX has been elevated throughout 2026 but has held below prior dislocation peaks above 60, seen during Liberation Day in April 2025. Bitcoin News Volatility More For You Coinbase says the 'second wave' of institutional money for crypto is here and it is all about yield By Helene Braun | Edited by Aoyon Ashraf 37 minutes ago Coinbase’s head of institutional, Brett Tejpaul, says institutional priorities in crypto are evolving, and investors are increasingly hunting for yield. What to know : Institutional investors are shifting from pure price speculation in crypto toward strategies that generate steady income from assets they already hold. New products such as Coinbase’s tokenized Bitcoin Yield Fund and BlackRock’s staked-ether ETF reflect growing demand for yield-bearing, onchain vehicles that resemble traditional cash and bond strategies. As interest in stablecoins, tokenization and 24/7, near-instant settlement grows, large financial firms are exploring how blockchain infrastructure can cut costs, speed cross-border payments, and improve capital efficiency. Read full story Latest Crypto News Solana Foundation taps Mastercard, Western Union, Worldpay for institutional developer platform 20 minutes ago Coinbase says the 'second wave' of institutional money for crypto is here and it is all about yield 37 minutes ago Wall Street broker Bernstein calls bitcoin bottom, keeps $150,000 year-end target 37 minutes ago ParaFi defies crypto market downturn with $125 million raise for new fund: Bloomberg 44 minutes ago New York Stock Exchange taps Securitize to build its tokenized stock platform 49 minutes ago BitGo, Susquehanna Crypto offering institutional OTC access to prediction markets 1 hour ago Top Stories Bitcoin finds stability at 2023 investor cost basis, echoing past cycle 1 hour ago Bitcoin leads crypto rebound to $71,000 as $550 million in shorts liquidated 2 hours ago Balancer Labs will shut down as corporate entity became 'a liability' after $110 million exploit 6 hours ago Here’s how Treasuries could shape Trump’s Iran war and bitcoin moves 5 hours ago Bitcoin's mining concentration just showed up in a rare 2-block reorg 8 hours ago The $75,000 line in the sand: What it’ll take for bitcoin to go "full bull" 2 hours ago In this article BTC BTC $ 70,649.23 ◢ 1.14 %