Uncertainty is clouding global markets, and investors are scrambling for safe havens. But this time, the surprising star is Bitcoin — outperforming traditional indices not by gains alone, but by showing less volatility.
Bitcoin Becomes Surprisingly Stable
According to Galaxy Digital, Bitcoin’s 10-day realized volatility fell to 43.86, compared to 47.29 for the S&P 500 and 51.26 for the Nasdaq 100. Traditionally seen as a highly volatile asset, BTC is now showing more stability than major market benchmarks.
This unexpected shift signals a maturing perception among institutional investors, who may now view BTC as less risky and more suitable for long-term portfolios. Galaxy notes that this mirrors behavior seen during the U.S.-China trade war period of 2018–2019.
Institutional Demand Drives Volatility Lower
In early April, market jitters intensified after Donald Trump’s tariff announcements. Gold spiked to 3,500$ before retreating, the dollar fell nearly 4%, and equities stumbled. Yet Bitcoin gained 11% in the same period — cementing its role as a potential hedge against geopolitical and fiscal instability.
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Kronos Research CEO Hank Huang suggests rising ETF flows and strategic buying are transforming BTC into “digital gold,” decoupled from equity volatility. As liquidity deepens, volatility shrinks, strengthening Bitcoin’s case in diversified portfolios.
Bitcoin Emerges As A Digital Store Of Value
Galaxy’s OTC trading desk describes the market stance as “cautiously optimistic,” characterized by low leverage and minimal hedging stress.
With 95% of BTC already mined and rising institutional and even governmental interest, Bitcoin is increasingly viewed as a digital store of value. BlackRock’s Jay Jacobs echoed this, noting that many nations are moving away from dollar reserves toward gold and Bitcoin in search of uncorrelated safe-haven assets.
The landscape is shifting. Once deemed too volatile to trust, Bitcoin may now be one of the most reliable players in an unpredictable global economy.
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