The CBOE Volatility Index (VIX) has hit its highest level in nearly a year, sparking concerns about growing panic in traditional markets. This increase is often associated with bitcoin local bottoms. The VIX surge coincides with global market reactions to oil price spikes.
Bitcoin has diverged from the trend of falling traditional safe havens and equities. Instead, it is up around 5% over the past 24 hours and trading above $69,000. Historically, bitcoin tends to bottom when the VIX spikes.
The similarity in patterns between VIX surges and bitcoin local bottoms was observed during previous market turmoil events, including the tariff-driven market turmoil in April 2025 and the Silicon Valley Bank crisis in March 2023. The Bitcoin Volmex Implied Volatility Index (BVIV) suggests that crypto markets may have already experienced their panic phase.