why bitcoin is volatility?

[kidd07]

In addition to the demand and supply factor, the volatility in Bitcoin can also be driven to an extent by the holders of large proportions of Bitcoin. For Bitcoin investors with current holdings above around $10M, it is not clear how they would liquidate their holdings into fiat without severely moving the market. Then the rate of adoption is also affected by the type of news in the market which adds to volatility.

Yes, or maybe we can say that due to market changes that is why bitcoin is volatile. The circulating supply and the market capacity affects bitcoin value and this is because of peoples activity especially traders and whales if they are going to buy or sell then any changes in the market will make the coins volatile.

[Aandosq1]

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.

This is Why Why Bitcoin Value and Prices Are Unstable:

1.Sangat Influenced By Various News

2.Perceive Palue from Bitcoin Fluctuate

3.Then Many Factors in the Perception of Asset Value and Value of Bitcoin

4.The Value of Small Option for Currency Investors Kakap

5. Application of Taxes Affecting Price Volatility

[gudvin1988783]

I think that the market will be volatile until the niche is overregulated. This market can be severely ruined having 20-40t of bitcoins, although bitcoins are now in the network of millions 17. Speculation, just speculation.

[molenracing]

Bitcoin is a highly fluctuated digital asset, it is definitely a bitcoin price is not stable.Because Bitcoin also made a tool to trade, of course if the price is stable it will prolong the trader to get profit. And with the price of this unstable bitcoin, will make traders get profit which is great when he can predict the exact price.

[wahyu.prist]

The existence of negative news from cryptocurrency that causes Bitcoin prices unstable, everyone will understand it and not in a hurry to make a decision in crypocurrency market. So volatility is worse than good for Bitcoin Thanks

[CoinSpeculator]

i think big guys play us for a long time. i don't know what is going on in future but now we will sit and wait. nothing to do.

[mrben77]

Both the behavior and the opinions of investors affect the price of Bitcoin. In other words, when a popular investor shares a positive opinion about Bitcoin or any other crypto currency, it may well grow in price. On the other hand, when Warren Buffett says that "Bitcoin is similar to rat poison", this negatively affects the course of the crypto currency.

[tarable]

because the effect of bitcoin is pretty much so the bitcoin is not stable at this time. we must try to make the bitcoin can grow and mature as before. because the development of bitcoin is also difficult to predict

[riuzfairus]

because of the number of Factors in the Perception of Asset Value and Bitcoin Value
Bitcoin price instability is also driven by various perceptions of intrinsic value of cryptocurrency as a store of value and value transfer methods. The function of bitcoin as a store of this value is to store assets that can be useful in the future by considering several possibilities. Later, the storage value can be stored or transacted with goods or services in the future. Whereas, the value transfer method is an object or concept used to transmit property in the form of an asset from one party to another. Because of these two factors, the price of bitcoin varies against the dollar and other fiat currencies.

[zhekinsp]

The government has nothing to do with the fluctuations of bitcoin.It is true that the government may have an effect on bitcoin prices because of their policies but the government does not play a direct role in price volatility. I think fluctuations occur because the amount of demand and supply differs greatly.Sometime trading makes the volatility as well.

Yes you are right they don't have any direct role to play in the crypto currency prices but their regulation highly affects the demand which causes the price fall too.
But most of the volatility cames from newbie investors who are selling their cryptos in panic while there is dump in the market.

Their is no relation between panic and newbie , only the dumping of price mainly caused by newbie due to panic but the main volatility is due to shortterm traders who book profit with small profit and that creates the price to move down. This year the main problem happened due to most of the country going for regulating crypto and giving lot of rules that makes them trade in low.

But most of the newbie investors are short term holders who are just came here to make quick money they don't know the technology behind it.That is why I said the newbie causes the volatility but whoever are just buying and selling the crypto are the main reason for price dumping.

[Elmughni]

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.

I think, the reason why bitcoin is volatile, because the market is small, and the demand is low. Maybe In the future if bitcoin is more popular, bitcoin is more valuable. I think the price will stable.

[umbara ardian]

I agree with what you say bitcoin is different from others because bitcoin has a very limited total supply and makes bitcoin very difficult to predict because bitcoin price movements are influenced by mining difficulty and good news from bitcoin will make the price move quickly.

[whirlcoin]

Both the behavior and the opinions of investors affect the price of Bitcoin. In other words, when a popular investor shares a positive opinion about Bitcoin or any other crypto currency, it may well grow in price. On the other hand, when Warren Buffett says that "Bitcoin is similar to rat poison", this negatively affects the course of the crypto currency.

The comments about bitcoin by the famous person may not have big impact on the bitcoin prices.But the main volatility of the bitcoin cames from its limited quantity and more and more investors looking to earn money in short term so they were just bumping and dumping the coins by reading it.

[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.

[aray80]

I think it could be because only a small fraction of them have large amounts of Bitcoin, but if Bitcoin is already widespread and many people are starting to hold Bitcoin, then the Bitcoin Volatility will certainly decrease ...

[JoshMart]

I think the biggest reason why Bitcoin is so volatile is because it is not regulated and the fact that its supply is limited. Since it is not regulated, anyone can buy any amount at anytime they want, same for selling the coins. Having said that, since the supply is limited, it price movement is mainly based on the demand, people's demand and interest for Bitcoin. So essentially, the price is based on the people's actions, it directly affects the activity of the price, hence volatility. 

[Gathel]

bitcoin prices so unstable? This is because the bitcoin price fluctuations in various international and local bitcoin markets such as coinbase, bitstamp, kraken, btc china, bitcoin.co.id and others are driven by many factors.

[kleaty Virus]

Its a more important cause to bitcoine is a volatility. Main problem is market is small but demands are high. So people can't get proper benefits what they deserve. Its may to happen of loyality. So as soon as to do solve this problems.

[cahbagus555]

Bitcoin so volatile because no one can control the supply to fill demand on market. Not like fiat money, volatile in forex controlled by central banks by flooding or withdrawing supply in market

[klim75]

Bitcoin price is volatile, and it can not be stable, because it depends on demand and supply and can not be regulated. It's a law of the market.