Insights
VIX
The market's expected swing in US stocks over the next 30 days — known as the 'fear index'.
Here's the trend so far. The yellow dashed line is the Bitcoin price.
How to read this chart
Below 20 is calm, above 25 is fear. Returns after crossing 25 have been mixed depending on the horizon (weak short term, recovering longer term), so read it as a mood gauge rather than a directional signal.
New to this metric?
What is VIX? A gauge of how scared the market is. Below 20 reads as calm, above 25 as fear spreading, and when VIX spikes, crypto has often been shaken along with it.
Why is it called the 'fear index'?
Because it's computed from how much investors pay for insurance (options) against a drop. The more nervous they are, the pricier that insurance gets, so a high VIX means many people are scared and bracing for a fall.
It's a stock metric — what does it have to do with crypto?
When fear spreads, investors sell risky assets first. Crypto is a textbook risk asset, so in stretches where VIX spiked it has tended to fall alongside stocks, sometimes harder. That's why it's used to read the mood of the whole market.
What levels should I watch?
Typically below 20 is calm and above 25 is fear. But more than the number itself, the moment a low, steady VIX suddenly jumps matters most. Such sharp moves are often read as a sign the market mood is turning.