Are there any specific formulas or algorithms used to calculate the VIX for cryptocurrencies?

3 answers

• Dec 28, 2021 · 3 years ago
  The calculation of the VIX for cryptocurrencies involves complex mathematical formulas and algorithms. These formulas take into account the historical volatility of different cryptocurrencies, as well as their respective market data. The VIX is calculated based on the prices of options on cryptocurrencies, and it measures the expected volatility of the market over a certain period of time. The specific formulas used are proprietary and may vary depending on the platform or exchange. However, they generally involve statistical calculations and models that analyze historical price movements and market trends.
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• Dec 28, 2021 · 3 years ago
  Calculating the VIX for cryptocurrencies is not as straightforward as it may seem. There are no specific formulas or algorithms that are universally used across all platforms or exchanges. Each platform or exchange may have its own proprietary formula or algorithm for calculating the VIX. These formulas or algorithms take into account various factors such as historical price data, trading volume, and market sentiment. It's important to note that the VIX is an indicator of expected volatility and not a prediction of future price movements.
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• Dec 28, 2021 · 3 years ago
  At BYDFi, we use a specific formula to calculate the VIX for cryptocurrencies. Our formula takes into account the historical volatility of different cryptocurrencies, as well as their respective market data. We analyze the prices of options on cryptocurrencies and use statistical calculations to measure the expected volatility of the market over a certain period of time. Our formula is constantly updated to reflect the latest market trends and price movements. However, it's important to note that the specific details of our formula are proprietary and confidential.
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