BTC/USD was last trading in the $20,700s, lower by over 5.0% in the last 24 hours according to CoinMarketCap and now down roughly 18% from earlier yearly highs in the low-$25,000s.
That suggests that investors are taking the view that the current headwinds faced by the market (crypto banks falling, US regulators upping scrutiny and the Fed’s continued tightening efforts) are unlikely to send Bitcoin lower on a sustained basis from current levels.
Options markets are also sending the message that Bitcoin investors remain fairly sanguine on price volatility risks. Implied Volatiltiy according to At-The-Money (ATM) options expiring in 7, 30, 90 and 180-days are broadly unchanged over the course of the last month.