Bybit has released its volatility report for June 2025 highlighting that BTC has reached historically low levels of volatility driven by significant spot ETF inflows.
Declining BTC Volatility
The report indicates that BTC's implied volatility has dropped to 28%, while realized volatility has hit 20-month lows. This achievement marks a reduction in volatility that has been ongoing since 2020, indicating asset maturity.
Impact of Spot ETFs on the BTC Market
The report highlights the role of institutional investments in reshaping BTC's price behavior. The launch of spot ETFs in January 2024 coincided with a decline in volatility, helping to stabilize prices and create more frequent small positive daily returns. This has led to the creation of a stable price floor and reduced speculative swings.
Comparing BTC and ETH Volatility
While BTC experiences historical stability, ETH does not follow a similar pattern. ETH's realized volatility has been increasing since its own spot ETF launch in July 2024. The report also notes Solana's volatility has surpassed BTC, reaching a high of 2.96 in June 2025.
The overall analysis underscores the importance of spot ETFs as a stabilization mechanism for BTC, while ETH and other altcoins remain subject to significant market fluctuations.
