Mean Reversion vs Realized Volatility
Quick comparison to help you distinguish these two crypto terms.
Mean Reversion
intermediate
strategy
Trading principle where asset prices that deviate significantly from historical averages tend to revert back toward equilibrium levels, enabling profitable trades from price extremes.
Read full definitionRealized Volatility
intermediate
technical_analysis
Historical cryptocurrency price volatility actually experienced over recent periods, measuring actual price movement magnitude from which traders assess risk and compare to implied volatility for options valuation.
Read full definition