{"id":511309,"date":"2022-12-06T08:11:55","date_gmt":"2022-12-06T13:11:55","guid":{"rendered":"https:\/\/wncen.com\/?p=511309"},"modified":"2024-06-11T14:31:36","modified_gmt":"2024-06-11T14:31:36","slug":"price-slump-for-bitcoin-looming-as-vix-rises-back-above-20","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/price-slump-for-bitcoin-looming-as-vix-rises-back-above-20\/","title":{"rendered":"Price Slump For Bitcoin Looming As VIX Rises Back Above 20"},"content":{"rendered":"
The Bitcoin price has currently stabilized strongly around the $17,000 mark. However, the price could face further headwinds in the coming days, as the VIX exposes.<\/p>\n
The VIX is a real-time volatility index from the Chicago Board Options Exchange (CBOE). It was created to quantify market expectations of volatility.<\/p>\n
In doing so, the VIX is forward-looking, meaning that it only shows the implied volatility of the S&P 500 (SPX) for the next 30 days.<\/p>\n
Basically, if the VIX value goes up, the S&P 500 will likely go down, and if the VIX value goes down, the S&P 500 will likely remain stable or go up.<\/p>\n
This is exactly what was seen yesterday. The VIX bounced up to 19, a level that was last seen in mid-August. As a result, the S&P 500 lost the weekly support area at 4040 and fell 1.8%. In August, the last time the VIX was this low, it rebounded, and the S&P 500 fell 15%.<\/p>\n