The Bitcoin market is very sluggish, with volatility levels remaining low. It is experiencing a tolerable 2% weekly loss as cautious traders reduce yields, volatility, and market turnovers to new lows.
During the K33 report launch, the head of research, Vetle Lunde, indicated that the pro-crypto administration headed by President Trump had a long-term positive effect on Bitcoin and the entire industry. However, there is a short-term uncertainty that makes the market lethargic. Lunde said in a report on Tuesday:
Bitcoin metrics are softening across all corners of the market. Volumes, yields, options premiums, and ETF flows have moved to areas not seen since before the election. Alongside these lethargic conditions, volatilities have plunged to multi-month lows.
Vetle Lunde
While comparing Bitcoin’s volatility to the top 100 U.S. companies, Lunde said that 37% of the firms currently show higher 30-day volatility than Bitcoin. Such crazy levels were last seen in October 2023. He further pointed out that periods of low volatility are temporary and rarely last longer; therefore, traders must be ready for a sudden shift.
Low premiums are indications of weaker market performance
The research further indicated that CME Bitcoin Futures shows premiums have recently dropped past 5%, a rare occurrence. The data from 2021 to 2025 shows that low premiums always coincide with weaker market performance.
In futures trading, the basis refers to the difference between an asset’s futures and spot prices. A premium occurs when futures prices exceed spot prices, often signaling bullish sentiment, while a discount suggests bearish conditions.
Lunde insists that Bitcoin always performs better in a strong basis regime and asks traders to be cautious during the current market uncertainty.
The short-term time frame shows that the $BTC price continues to roll over after breaking through the top of the descending wedge. If this downtrend continues, the next horizontal support is $94,000, and the bottom range is $92,000. Just below this is the major ascending trendline that stretches back to the 2021 bull market.
Bitcoin price remains uncertain, but the potential of an uptrend is still intact on the week
A keen look at the weekly $BTC chart reveals how the prices have gone sideways over extended periods in the current bull market. The position is very healthy and will probably lead to a higher top than if the price keeps climbing.
Looking at this chart, the bear might say that an M-top chart pattern may be playing out. Of course, this is always a possibility. However, the trend is still upward until the price falls and confirms below the current range, the bottom of which is bolstered by the ascending trendline.
At the foot of the chart, the Stochastic RSI, which highlights price strength, has its indicators hitting the lowest point. If they turn back and climb over the 20.00 level, the renewed upward price force can push $BTC from its current range to the next new level. This will likely begin taking place in less than a month.
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This articles is written by : Nermeen Nabil Khear Abdelmalak
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