Analysis Company said "Bitcoin Appears Lifeless in a Suspicious Way," Releases New Warning!

Cryptocurrency analysis firm K33 Research reported that an extremely low volatility period is being experienced in the Bitcoin market and trading activities have dropped to the lowest levels of the month. According to their latest reports, risk-averse traders led to a modest 2% weekly loss for Bitcoin by reducing volatility and trading volumes.

K33's Research Director Vetle Lunde noted that despite the long-term promise of a crypto-friendly Trump Administration for Bitcoin and the broader industry, the current uncertainty has dampened market activities.

Lunde said in his statement: "Bitcoin metrics are softening in every corner of the market. Volumes, returns, option premiums, and ETF flows have moved to unseen territories since the election. In addition to these stagnant conditions, fluctuations have also dropped to the lowest levels in recent months.

Lund also pointed out that 37% of the top 100 US companies currently exhibit higher 30-day volatility than Bitcoin, which was last seen in October 2023. However, he warned that these low volatility periods tend to be short-lived, urging investors to prepare for potential market changes.

Lunde added, "General risk aversion tendency indicates that investors are prepared for downward fluctuations, while moderate leverage levels currently show that liquidation chains carry less risk."

Lunde's analysis of CME Bitcoin Futures suggests a potential shift in the market. Lunde noted that futures premiums have dropped below the historically rare level of less than 5%. K33, examining data from 2021 to 2025, found that low futures premiums generally coincide with weaker Bitcoin market performance and likely were impacted by the prolonged bear market in 2022.

In futures, basis represents the difference between futures prices and spot prices. When futures prices exceed spot prices, a premium is formed, which usually indicates bullish sentiment, while a discount indicates bearish conditions.

Lunde highlighted that Bitcoin performs best in a strong base regime and advised caution given the current market uncertainty. Lunde concluded his words as follows: "Given the current uncertainty, we recommend being cautious until a clear direction signal emerges."