Can Bitcoin Volatility Be Controlled?

[SaShiRaJaVu]

Volatility can't be controled but it will get more and more reduced as market cap and daily volume increases over time. Bitcoins volatility is proportional to its value, at higher valuations it takes more fiat to move the price in either direction.

If you look at the historical data we could very well say that we are not seeing that much volatility like we used to see in the beginning,things will change when the market cap increases without a doubt,with the scaling being done it is a matter of time that we take the market to the next level and then we could see less volatility.

[EdenHazard]

Bitcoin volatility maybe hard to controlled, but fortunately it is a decentralized digital currency which has limited supply. Bitcoin volatility maybe could be more stable if everyone or many people in this world have bitcoin in their wallet, bitcoin spread widely and used in daily transaction as medium of exchange, so if some people sell bitcoin, many more will buy bitcoin, then bitcoin price will reduce bitcoin volatility such as fiat currency.

things make bitcoin won't get controlled by a single institution, group or whatever it is because of how bitcoin work with its decantralized system , it is like the power of "us" . everything done by a lot of people in different places and in different decisions.

i can not see there is a possibility the market and bitcoin itself could be controlled by one sided!

[zarados]

I have read some posts and some concerns that it is the volatility of Bitcoin that is preventing many people and many businesses to fully adopt Bitcoin. This can be the main factor why big online shopping stores are not yet adding Bitcoin into their payment facilities (though there is now a circulated petition for this but I doubt if it can make a dent).

Some are really saying that if volatility can be managed then we can see Bitcoin going mainstream. I am wondering then: Is volatility something that we should find a way to control and how do you think it can be done?

Maybe this volatility has become the hallmark of the world of cryptocc, especially bitcoin, of course the business people are still preventing to use the bitcoin facility to make transactions in because their money circulation is running quickly. Quite contrary to the fluctuating bitcoin value. Business persons do not want to take that risk. For now, bitcoin may be only in demand by investors and traders who are indeed turning their money based on the ups and downs of market prices from their investment targets.

[iram1011]

I have read some posts and some concerns that it is the volatility of Bitcoin that is preventing many people and many businesses to fully adopt Bitcoin. This can be the main factor why big online shopping stores are not yet adding Bitcoin into their payment facilities (though there is now a circulated petition for this but I doubt if it can make a dent).

Some are really saying that if volatility can be managed then we can see Bitcoin going mainstream. I am wondering then: Is volatility something that we should find a way to control and how do you think it can be done?

A LONG time.

Bitcoin has a $42B market cap. This is nothing. Until this market cap grows into the trillions I don’t think Bitcoin will be stable enough to be a functioning currency. There just isn’t enough liquidity. Unless there is a significant portion of the world invests in Bitcoin, there wont be stability.

[mornabo]

Volatility can't be controled but it will get more and more reduced as market cap and daily volume increases over time. Bitcoins volatility is proportional to its value, at higher valuations it takes more fiat to move the price in either direction.

That means more marketcap or volume in the bitcoin market, will make the fluctuations slower or smaller. What if someone has a large bitcoin capital and can reduce and increase marketcap in the market? Surely they could have manipulated fluctuations right ?

[DrGuns4Hands]

volatility of bitcoin cannot be controlled because bitcoin is a decentralized currency and the market is not that stable when it comes on buy and sell . you can't predict what's on the mind of big whales that's why bitcoin wouldn't be stable some how. bitcoin is now is not made to be like that but somehow bitcoin and us user adapt it from the bottom of our heart we didn't know that bitcoin could actually grow like the price right now. im glad that i have enough knowledge on bitcoin.

[deppil]

Volatility can't be controled but it will get more and more reduced as market cap and daily volume increases over time. Bitcoins volatility is proportional to its value, at higher valuations it takes more fiat to move the price in either direction.

If marketcap on the market bitcoin bigger of course it will make the fluctuation becomes slow or down. Of course everyone knows that the more days the user will be more and certainly marketcap will be increasing every day. Means it will make the fluctuations become slower from day to day, is that true?

[deppil]

High volatility is the issue,  volatility of bitcoins makes it unique from other currencies and it is attractive feature as business point of view. Volatility can be controlled if we have a stable market of bitcoin (which is in fact not possible due to its characteristics in my point of view)

We can't control volatility since it is decentralized and demand is hard to predict. Some countries planning on implementing it can make its value really high. Stable market can only happen in short period of time and can change as fast that we don't even noticed.

I think controlling the fluctuation means that it will manipulate the price as well? If manipulating the price many people say that it could be done if you have a lot of bitcoin, I mean thousands of bitcoins in your wallet and have a team to manipulate. With news, speculation, issues, and bitcoin a lot, a strong team, it could just manipulate the fluctuations and bitcoin prices

[Vishnu.Reang]

Volatility can be controlled by various measures, but if we do that, then it is not going to be good for BTC. Let the exchange rates decided by the supply-demand ratio. There are certain currencies such as the Saudi Riyal and the Hong Kong dollar, which are having fixed exchange rates. But we don't need such a system for Bitcoin.

[Aamir1]

It is of course not possible to stop the volatility of bitcoin. It is just like asking every single person, every exchange and service to stop selling or buying bitcoins, because that is the reason why bitcoin is volatile. It is in circulation that is why its price does not stay in one place. If bitcoin is supposed to be stable then there should be no demand and supply anywhere in the world which is impossible to happen.

[Ctn]

I'm sure it is not that bad characteristic of bitcoin. In fact it is the character that making us profitable where we take advantage of buy and sell margined arising due to its volatility. The fact you saying here that

volatility of Bitcoin that is preventing many people and many businesses to fully adopt Bitcoin.

is not completely true because bitcoin is made for holding our money or trading into stock exchanges. It was not really meant to adopt into business but let the businesses feel it's power to invest into bitcoin itself.

[HeRetiK]

Volatility can be controlled by various measures, but if we do that, then it is not going to be good for BTC. Let the exchange rates decided by the supply-demand ratio. There are certain currencies such as the Saudi Riyal and the Hong Kong dollar, which are having fixed exchange rates. But we don't need such a system for Bitcoin.

The Swiss Franc was also pegged to the Euro before market pressures became to big. Once they unpegged the Franc, there was an immediate correction. It shows that even fixing exchange rates is useless against market forces if the pegged systems are diverge enough. Just look at Tether. Even they are fluctuating, although not as heavily as non-pegged cryptos.

[jonosutio]

Whether it can be controlled, which can control only the teams that are behind it. Some give fake price moves to benefit from it, if the system has functioned in a decentralized state, the volatility can not be controlled by the team behind it.

[Mandoy]

I have read some posts and some concerns that it is the volatility of Bitcoin that is preventing many people and many businesses to fully adopt Bitcoin. This can be the main factor why big online shopping stores are not yet adding Bitcoin into their payment facilities (though there is now a circulated petition for this but I doubt if it can make a dent).

Some are really saying that if volatility can be managed then we can see Bitcoin going mainstream. I am wondering then: Is volatility something that we should find a way to control and how do you think it can be done?

Well volatility can be controlled and we can make the price of bitcoin stable. But the problem lies on the total amount of bitcoins in the circulation which is 21 million coins and if we fixed its value only a limited few can have it. Aside from that if we will make bitcoins price stable the only way to do that is to make a consensus of all stakeholders and that is very difficult to do since bitcoin is decentralized. In order for us to do that the states around the world must unite and enjoined to discuss and settle things as to what value will be given to bitcoin. That will end the volatility but also bitcoins decentralized feature. In short to make bitcoins price controllable we must make bitcoin decentralized and that is a very big problem. In my own opinion I would like bitcoin that is volatile since that will help me earn profit from trading and aside from me that is how people loved and trusted bitcoin.

[Crafts12]

I have read some posts and some concerns that it is the volatility of Bitcoin that is preventing many people and many businesses to fully adopt Bitcoin. This can be the main factor why big online shopping stores are not yet adding Bitcoin into their payment facilities (though there is now a circulated petition for this but I doubt if it can make a dent).

Some are really saying that if volatility can be managed then we can see Bitcoin going mainstream. I am wondering then: Is volatility something that we should find a way to control and how do you think it can be done?

In my opinion , no. Bitcoin's value depends on the market's demand, but I think we can't control the market or the majority. We can only spread awareness about how effective Bitcoin is. Bitcoin is volatile because dumps and pumps are looking like a cycle. That if there is a pump, inflactuations are expected and vice versa. In my opinion, it will be stabilized if most of the countries will legalize bitcoin as a currency.

[BartS]

I have read some posts and some concerns that it is the volatility of Bitcoin that is preventing many people and many businesses to fully adopt Bitcoin. This can be the main factor why big online shopping stores are not yet adding Bitcoin into their payment facilities (though there is now a circulated petition for this but I doubt if it can make a dent).

Some are really saying that if volatility can be managed then we can see Bitcoin going mainstream. I am wondering then: Is volatility something that we should find a way to control and how do you think it can be done?

Markets should be free to move as they do, it is inconvenient for business I know that but trying to control the price of bitcoin will create more problems than the ones that it solves as has been proved many times in history, when an authority tries to restrict the free market it usually backfires.

[deisik]

I have read some posts and some concerns that it is the volatility of Bitcoin that is preventing many people and many businesses to fully adopt Bitcoin. This can be the main factor why big online shopping stores are not yet adding Bitcoin into their payment facilities (though there is now a circulated petition for this but I doubt if it can make a dent).

Some are really saying that if volatility can be managed then we can see Bitcoin going mainstream. I am wondering then: Is volatility something that we should find a way to control and how do you think it can be done?

Well volatility can be controlled and we can make the price of bitcoin stable. But the problem lies on the total amount of bitcoins in the circulation which is 21 million coins and if we fixed its value only a limited few can have it. Aside from that if we will make bitcoins price stable the only way to do that is to make a consensus of all stakeholders and that is very difficult to do since bitcoin is decentralized. In order for us to do that the states around the world must unite and enjoined to discuss and settle things as to what value will be given to bitcoin. That will end the volatility but also bitcoins decentralized feature. In short to make bitcoins price controllable we must make bitcoin decentralized and that is a very big problem. In my own opinion I would like bitcoin that is volatile since that will help me earn profit from trading and aside from me that is how people loved and trusted bitcoin.

You likely meant to say centralized, right?

But this is meaningless since, first, it is next to impossible to achieve(read flat-out impossible), and, second, this is a futile enterprise on its own (sort of a fool's errand). The next to impossible thing seems to be pretty self-evident (so it doesn't need any further explanation), while the futile thing refers to the fact that there is nothing wrong in volatility per se and nothing good in artificially stable prices (which is what your procedure basically assumes). Market volatility reflects the true essence of a coin, it is just how things are, in this case in respect to Bitcoin. Further, the volatility will go down if Bitcoin becomes an integral part in a self-sufficient, closed-loop economy, where it will be used as a full-fledged means of payment. Right now it is far from being that, it is more often than not just a front-end for some fiat currency (in most cases, the US dollar)

[lionheart78]

Volatility can't be controled but it will get more and more reduced as market cap and daily volume increases over time. Bitcoins volatility is proportional to its value, at higher valuations it takes more fiat to move the price in either direction.

I agree volatility can't be controlled.  This is the effect of an unregulated open  market.  Bitcoin price is driven by supply and demand, so I believe volatility cannot be controlled in Bitcoin.  Another thing is, bitcoin is not regulated to combat its wild fluctuation.  There is no Body that watched over the bitcoin market an release orders to be able to stop the crash or uptrend of bitcoin.

[reflector]

Volatility can't be controled but it will get more and more reduced as market cap and daily volume increases over time. Bitcoins volatility is proportional to its value, at higher valuations it takes more fiat to move the price in either direction.

I agree volatility can't control.  This is the effect of an open unregulated market.  Bitcoin price is driven by supply and demand, so I believe volatility cannot be controlled in Bitcoin.  Another thing is, bitcoin is not regulated to combat its wild fluctuation.  There is no Body that watched over the bitcoin market an release orders to be able to stop the crash or uptrend of bitcoin.

Right! Gold is being from the long years ago. We are unable to control the volatility of it first then how it will work to control the bitcoin price. This volatile nature only gives income to traders, loaners and etc... Of no changes they can make the profit and run their business. Please check the market value there is again little dump in the chart.

[salmanahmedone]

Best way to gain control over something like this is to add a layer such as a side token. You can't do this in a bass root coin, but then you're placing the entire price control within the developers hands. In other words, you could use a clone of Bitcoin and recode it placing price control of its value completely within the wallet.