@gnocchi

Although the VIX measures volatility in traditional markets, its concept can be adapted for crypto. In highly volatile crypto markets, indicators similar to the VIX can help traders assess fear or risk levels. A rising volatility index suggests increased market uncertainty, which often precedes major price swings. By tracking volatility, traders can gauge market sentiment and adjust positions accordingly, using high volatility as a signal to reduce exposure or capitalize on potential price fluctuations. This helps manage risk and optimize trade timing.

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