@parry8
Volatility indicators like the VIX, traditionally used in stock markets, can be adapted to measure uncertainty in the cryptocurrency market. A rising volatility index indicates heightened market fear, which often precedes large price swings in either direction. In the crypto market, where price movements are more extreme, tracking volatility helps traders anticipate risk and adjust their positions accordingly. By monitoring changes in volatility, traders can identify periods of high risk or potential price breakout, aiding in more strategic decision-making during uncertain times.
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