{"id":25503,"date":"2025-05-07T05:31:43","date_gmt":"2025-05-07T05:31:43","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=25503"},"modified":"2025-05-07T05:31:43","modified_gmt":"2025-05-07T05:31:43","slug":"forecasting-fed-induced-price-swings-in-bitcoin-ether-solana-and-xrp","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=25503","title":{"rendered":"Forecasting Fed-Induced Price Swings in Bitcoin, Ether, Solana and XRP"},"content":{"rendered":"<div>\n<p>It&#8217;s the Fed day again, and traders are seeking cues on how much volatility this key event might spark. According to Volmex&#8217;s implied volatility indices, major tokens could see price swings, but nothing out of the ordinary is anticipated.<\/p>\n<p>According to data source TradingView, Volmex&#8217;s annualized one-day bitcoin implied volatility index (BVIV) stood at 49% as of writing, which equates to an expected 24-hour price swing of 2.56%. <\/p>\n<p>In other words, bitcoin could swing by $2,470 in either direction. As of writing, bitcoin changed hands at around $96,500.<\/p>\n<p>The expected daily volatility in percentage terms is determined by dividing the annualized percentage by the square root of 365, as the digital assets market is open 24\/7. In traditional markets, conversion from annualized to daily involves the square root of 252 days.<\/p>\n<p>As of writing, ETH&#8217;s annualized one-day volatility was 66%, suggesting a 24-hour price swing of 3.45%. Similarly, Volmex&#8217;s one-day implied volatility index suggested a 24-hour move of 4.3% in Solana&#8217;s SOL token.<\/p>\n<p>Volmex doesn&#8217;t publish volatility indices tied to payments-focused cryptocurrency XRP. That said, the expected move in the token could be gauged from the forward implied volatility (IV) derived from options listed on Deribit.<\/p>\n<p>The forward IV for May 8 was 77.98% at press time, according to data source Amberdata. That equates to a one-day expected move of 4.08%.<\/p>\n<p>The Federal Reserve will announce its rate decision at 18:00 UTC, which will be followed by chairman Jerome Powell&#8217;s press conference at 18:30 UTC. <\/p>\n<p>The central bank is expected to hold rates unchanged, but <a href=\"https:\/\/www.coindesk.com\/markets\/2025\/05\/06\/bitcoin-traders-seek-downside-protection-ahead-of-fed-chair-powell-s-comments\">commentary<\/a> on the economic outlook against the trade war backdrop and possibility of a rate cut in June could move markets. <\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>It&#8217;s the Fed day again, and traders are seeking cues on how much volatility this key event might spark. According to Volmex&#8217;s implied volatility indices, major tokens could see price swings, but nothing out of the ordinary is anticipated. According to data source TradingView, Volmex&#8217;s annualized one-day bitcoin implied volatility index (BVIV) stood at 49% [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-25503","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/25503","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=25503"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/25503\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=25503"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=25503"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=25503"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}