Bitcoin records a notable pullback of 20%–37% from highs while implied and realized volatility remain surprisingly contained. The correction pushed the price below $90.000 and touched $80.184,77 on 21 Nov. 2025, challenging the historical pattern of volatility spikes during deep drawdowns.
Recent moves show a significant price decline without the outbreak of historical volatility that used to accompany similar drops. Observed losses range between 20% and 37% from peaks, with a point low of $80.184,77 on 21 Nov. 2025, after the price fell below $90.000.
Volatility metrics have moderated materially compared to prior cycles. Michael Saylor noted that same day that Bitcoin’s annualized volatility has fallen from around 80% in 2020 to approximately 50% currently. Research from firms like Fidelity and iShares indicates that 60‑day measures have remained below 50% since early 2023, and a contextual data point shows that in October 2023 Bitcoin was less volatile than 92 S&P 500 stocks.
Structural drivers include greater institutional capital inflows, deeper derivatives markets and the growth of long‑term holders, supporting a market more capable of absorbing corrections. The aSOPR (adjusted Spent Output Profit Ratio), an on‑chain indicator that measures the profit ratio in spent transactions, remains far from the extremes seen at bull market peaks, suggesting accumulation instead of mass liquidation.
Bitcoin: key metrics and positioning
Technical readings point to a compression of volatility rather than panic. The Bollinger Band Width, an indicator that measures price dispersion relative to its moving average, has narrowed to notable Bitcoin levels, which often precedes significant but less chaotic moves.
The Sharpe ratio has fallen to levels typical of funds and bottom periods in 2019, 2020 and 2022, indicating a repricing of risk without a volatility explosion. This aligns with the current backdrop of contained realized variability despite deep price retracements.
In public commentary, Anthony Pompliano described the 30%–37% drops as a “healthy reset” or a “bottoming phase” on 24 Nov. 2025, interpreting them as sentiment adjustments that do not imply a systemic collapse.
Operational implication: the combination of band compression, contained volatility and on‑chain signals favors strategies that prioritize risk management and options to hedge exposure, since relative stability can reduce premiums but also trigger sudden adjustments if flows change.
The observed pattern suggests an evolution toward a more orderly price discovery: deep corrections accompanied by contained volatility reflect greater market maturity. For traders and managers, the reading is twofold: less structural noise but a need to monitor technical levels and volatility readings which, if broken, could reintroduce risk premia.
