why bitcoin is volatility?

[ibhk]

Below is what causes the bitcoin to be unstable:

-It's Affected By Various News
- Perceive Value of Bitcoin Fluctuate
-Too Many Factors in the Perception of Asset Value and Value of Bitcoin
-Value of Small Option for Large Currency Investors
-Application of Taxes Affecting Price Volatility

[stripewhite]

It's a cycle. Media hype train. Normies buying at ATH. Inevitable dip. Panic sell. "bitcoin is trash"

People need to stop treating bitcoin (and crypto in general) as a get rich overnight scheme and more like the long term tech revolution that it actually is. Hop off the hype train and research, people. You will be wiser for it. If you want to gamble go to Vegas.

[Msile]

One of the reasons that the price of bitcoin is so volatile is that many of the people buying bitcoins today are buying based on speculation not because they actually want to use them.

Speculative buyers believe that in the future many people will want bitcoins (if this is true these future buyers will drive the price up) so speculators buy bitcoins now in anticipation of that future demand and price increase.

However, speculative buyers are very sensitive to current events - news stories can quickly turn speculative buyers into speculative sellers. This flip-flopping of speculator sentiment is the main reason the price of bitcoin varies so wildly.  

[i_iz_vins]

Why bitcoin is votality compare to fiat money. Many say bitcoin is not a good investment because it is votality.

What is votality?
liability to change rapidly and unpredictably, especially for the worse. this is the fast price change.

Why is the votality of bitcoin high?
Bitcoin is a low supply at the time of its growing number of users and it has become a demand for the masses. Many want to buy, Many want to sell in easy-word multiple transactions. When many bitcoin transactions are fast market movements and we do not know what might happen because of the emotion of the seller and the buyer may have the price increase or decrease. So the bitcoin is votality because of the small supply and in-demand.

Why is fiat money not too volatility?
Because the government is able to regulate a traditional money, they can make new money and just increase its supply so that it does not have a votality compare to bitcoin.

Note: This is my only opinion, if you have any opinion you can also share it.

bitcoin volatility is based on its demand, when more people invest in bitcoin, the price will be likely to go high.The opposite happens when more people sold their bitcoins for fiat. There are many things that affect the demand of bitcoin, some examples are advertisements, media like news. I also think that the price depends on the rate of bitcoins being mined per period of time, correct me if I am wrong.

[mico]

anyone here watch Narcos on netflix. see their dont have any good way to cash out their black money. If they know bitcoin they could do more than this

[MaryKiTy22]

Bitcoin is a digital currency and its characteristics fluctuate constantly based on supply and demand as well as other related issues. Bitcoin fluctuates because the market decides it and it is attractive. Investors

[charlotte04]

Why bitcoin is votality compare to fiat money. Many say bitcoin is not a good investment because it is votality.

What is votality?
liability to change rapidly and unpredictably, especially for the worse. this is the fast price change.

Why is the votality of bitcoin high?
Bitcoin is a low supply at the time of its growing number of users and it has become a demand for the masses. Many want to buy, Many want to sell in easy-word multiple transactions. When many bitcoin transactions are fast market movements and we do not know what might happen because of the emotion of the seller and the buyer may have the price increase or decrease. So the bitcoin is votality because of the small supply and in-demand.

Why is fiat money not too volatility?
Because the government is able to regulate a traditional money, they can make new money and just increase its supply so that it does not have a votality compare to bitcoin.

Note: This is my only opinion, if you have any opinion you can also share it.

Do you mean Bitcoin is volatile? I think because it's decentralize? No one is behind Bitcoin but only all the people that are using it.

[tonyja2017]

I think that is the nature of the Crypto market. Any of the altcoins are fluctuating with Bitcoin. That has brought a lot of curiosity of investors and that is why it becomes a new investment trend of the 21st century. Investors have become very interested and made a lot of money. When implementing low and high selling strategies. The Crypto market is very easy to guess, you can make a lot of money from trading.

[NeverSop]

Bitcoin is volatile to be developed. The bitcoin price is rising and many sell it for profit. So the market wants to balance the bitcoin price, then they drop down so that bitcoin prices are more stable in the cryptocurrency market. After stabilizing prices, I expect bitcoin prices to rise again to grow stronger.

[Kukuteng]

in my view,  There is a great relationship between the relevant media and the government's regulation. Of course, from a different perspective, if a horizontal line is lost, it will lose its charm.

[miraxgr]

The main reason for such an impressive volatility is that people do not know what to expect from cryptocurrencies. The increase in demand is influenced by the smallest trifle that increases the attractiveness of cryptocurrencies in the eyes of the consumer.
Among other reasons for the volatility of cryptocurrencies are the following:
The absence of state regulation
No reference to tangible value
No real value
Human factor
However, the volatility of the cryptocurrency has its advantages, mainly for traders.
Due to this, you can make good money on short-term changes in the course

[rameshrajan1000]

Without a volatility, there is no market share in the market. It also applies to bitcoin. But how much reliance it finds and how much it relies on is its reliability.

[gelliiknya]

We see  a lot of manipulations currently. I think with time as bitcoins become established as a payment medium or currency, we will see less of volatility.

[Specular]

The only reason why bitcoin is so volatile in the market because we have holders out there that have a huge amount of bitcoin that doesn't want the majority of the people around the world to acquire them. I call that Selfishness to the highest level.

[PrettyFace2018]

When a measure of how much the price of a financial asset varies over time is what we call volatility. And the more volatile an asset, the more people will want to limit their exposure to it. Volatility is measured in traditional markets and volatility in bitcoin does not yet have a generally accepted index but we know that bitcoin is capable of volatility.

[panovnu]

Volatility is the only reason why it has not become popular as a currency. Only a limited people use it as a currency currently.

[Kola]

the main reason for bitcoin volatility, because there is limited supply of them and huge demand because of these 2 reason bitcoin price depends

[Fakrull]

bitcoin is volatility / unstable there are several reasons:
1. Circulating his news
With the presence of its news factor factors whose impressions scare away bitcoin users could have an effect on bitcoin prices, such as government statements that Bitcoin is likely to be regulated.
2.ban / illegal bitcoin in a country
3. Market demand and its limited bitcoin,
whatever the reason for rising, falling, steady its price is not far from the trading system (its a lot of demand from the stock of goods / on the contrary) .

[balu06]

Well, I think BTC volatility can be explained in ECON study which is the most basic factor the supply and demand. Btc is already very popular which make up the growing population. As the time goes by the BTC demand goes beyond the target market while the supply is still as ease the  this factor brought a large impact to BTC volatility.

[endut15]

the main reason for bitcoin volatility, because there is limited supply of them and huge demand because of these 2 reason bitcoin price depends

indeed the bitcoin price is influenced by the developments and conditions of government that have an opinion about bitcoin, because at this time indeed bitcoin is changing every day, and all that is the right of government, whether the government approves the circulating bitcoin or vice versa.