Below, price Volatility is shown as a distribution curve of price changes where 99.8% of them fall within 3 standard deviations ( 3 sigma ) above or below the mean. The volatility oscillator is always mean reverting. Given this, the odds of a bounce are now extremely good...however, in the off chance this does not revert to the mean as expected from this level, then look out for a rare & extreme event to unfold to the downside.
Note the prior 3 sigma price deviations.
BTW, I find it very interesting to compare the Volatility Osc. to the standard Wilder RSI(14).