Despite a historically low volatility period in Bitcoin markets, recent developments have sparked curiosity and intrigue. The Deribit DVOL index has fallen to near-record lows, signaling an unprecedented level of complacency among traders regarding downside risks. This extreme market calm, as revealed by Glassnode data, raises the question: what does this signify for future price movements? 2.6% days showing lower values indicate a significant shift from traditional hedging strategies, potentially creating vulnerabilities in case of sudden volatility shifts. The U.S. Treasury’s announcement of a Strategic Bitcoin Reserve adds further complexity to the narrative. The reserve, fueled by forfeited assets and aiming for budget-neutral acquisitions, signals a bold step towards expanding the nation’s Bitcoin holdings. This move aims to position the US as a leader in Bitcoin adoption and strengthen its financial standing within the crypto space. Analysts are closely watching the CME gap near $118,300, which has served as a temporary support for price action before a possible rebound toward $121,000. Will this zone trigger a renewed bullish momentum or will it further fuel potential downward trends? The short-term market landscape remains in flux, with traders cautiously observing the interplay between these factors and their impact on Bitcoin’s future trajectory.