What Is the VIX Index and Is There a Direct Equivalent for the Cryptocurrency Market?

The VIX (Volatility Index) is a key measure of market expectation of near-term stock market volatility, specifically derived from S&P 500 index options. It is often referred to as the "fear gauge." While there is no single, universally adopted VIX equivalent for the entire cryptocurrency market, there are similar indices like the CBOE Bitcoin Volatility Index (BVIX) or other proprietary indices that track the implied volatility of Bitcoin and Ethereum options.

These crypto volatility indices serve the same function: to gauge market sentiment and expected price turbulence in the crypto space.