What is volatility and VIX? đŻ
Volatility is a key concept in financial markets, representing the degree of variation in the price of an asset over time. It shows how much and how quickly prices can change within a given period.
đš Higher volatility indicates larger price swings and more uncertainty or risk. For investors and traders, understanding volatility is crucial as it can affect the value of investments and the overall market sentiment.
One of the most well-known measures of volatility is the Volatility Index (VIX), also known as the "fear gauge." The VIX tracks the expected 30-day volatility of the S&P 500 based on options trading đđ
Rising VIX signals significant price fluctuations in the near future, lower VIX suggests a more stable and less risky market environment đ
As a rule of thumb, crypto is a highly volatile market
#FAQ
