Bitcoin's volatility is a non-issue

[Lamisa asfiya]

I think it is not a big problem for Bitcoin or crypto investors. Because many people have different types of volatile investments. People use currency as isolation because problems with people anxiety settles. Although its price changes, traders will not be completely dependent on it.

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[Dudeperfect]

On the individual level, I don't really care about Bitcoin price volatility as I know that crypto is market having wild behaviour. However, for the businesses with a turnover of billions, even little volatility could cause the fluctuation (profit or loss) of millions and that would not be a good thing for the companies dealing in multiple nations. We must seek stability to scale up (especially in corporate sector) but since we are still in the development phase, I don't think that we will have stability at least for the next 5 to 20 years from now.

[sikaola]

Strong fluctuations will affect other altcoins, you know that

[DilanBrown]

Strong fluctuations will affect other altcoins, you know that

And this is the main problem for all other currencies ((

[vivekyuvan]

If you’re new to cryptocurrencies, this kind of volatility can be dizzying (and painful if you invest at the wrong time), but if you take a closer look it starts to make sense. Here’s why Bitcoin’s price keeps changing so drastically, and why it may get more stable in the future.

[Pan Troglodytes]

I basically like your arguments and agree with them. I agree that high volatility is a non-issue in itself. Nevertheless you are missing one important aspect: transaction fees. They are low but whenever the volatility gets high, they get insanely high. And I think that the biggest issue currently is high transaction fees in times of large volatility and it is in fact a blocker for bitcoin being used as a currency.

Good point, but I think the Lightening Network should eventually resolve the fee problem, and as I understand it fees are already a lot lower than they were during the last feeding frenzy. Eventually SegWit will become the dominant address format, helping to keep fees under control. But also, if Bitcoin fees do go sky high, more and more people will be willing to use Ether or Bitcoin Cash or Litecoin instead. Excessive Bitcoin fees will eventually go away completely because fewer and fewer people will be willing to pay them and will know how not to.

I am sceptical here. Lightning Network is just an off-chain service (a third party service) trying to address the issue of high fees but I wouldn't be surprised to see it eventually abusing the faith people have in it and introducing fees of their own. I have seen it again and again with innovative online banks having a free (and free forever, as the ads would go) service only to introduce fees when they attracted a satisfactory user base.

What we need is an on-chain solution for high fees, SegWit was a part of a puzzle here, but not a whole answer, obviously.

[ivrynx]

The Crypto market is an unfair floor, and so is Bitcoin. The big guys are the ones who hold the best things, can eliminate everything the way they want. With the profits of losing losers, do not be foolish to think that "win-win" is real.

I totally agree, those who can control the marker are those who have the largest share, there is no doubt that once they release their coins and take profit the market will seem to be bearish, just like what mt.gox had done, though they are just releasing a few thousands, the market still falls, the same goes with altcoins, once the whales make a pump and dump on a certain coin, you will really see their movement basing on the charts, there is no win-win situation for those who only have a few coins on their hand, but there is still hope though, they just need more education, still, they are not the ones that can create an impact they just need to learn how to ride the waves.
Volatility is still a factor, but can lower your risk if you know when the whales will move in order to lower your risk.

[badakjawa]

yes, bitcoin volatility has no issue, everything is normal and stable, bitcoin only takes a long time to rise again and then create a bullish market.

lightning network and G20 support also can not make bitcoin rise fast, but only make bitcoin stable at 8K and 9K.

[jaaeeeyyyy]

It is a very big issue alright. Bitcoin is meant to be a base currency where virtually all other cryptocurrencies trade against. If its volatility begins to affect the coin movement of the community of altcoins, then it should be seen as a very serious issue that will hamper the growth of other coins

Bitcoin's volatility is a big issue, well almost on all cryptocurrency which is in the market that can be buy and sell. For bitcoin's case which is the first era cryptocurrency obviously it gained a lot of trust from the investors and users so it has the highest demand on the market which made its volatility rate so high that it can really go from 0-100 or 100-0 in no time.

[joebrook]

That just simply isn't true, volatility in value is a huge problem when you're trying to establish yourself as a currency. Lets just say this sort of volatility was present in the USD, that would mean that one day everything I have could be worth 50 percent less (or more) then the last. While it is good when the price goes it, it isn't good at all (it's horribly catastrophic) if the price is to crash and you lose value in pretty much everything

Volatility must stop if we want to become a currency.

Volatility is a very big deal in bitcoins and though in some ways it’s help people make money, its other effects are all negative because it’s the reason why most people are not investing anymore and why most businesses are not adopting bitcoin as a payment method.

[gabmen]

That just simply isn't true, volatility in value is a huge problem when you're trying to establish yourself as a currency. Lets just say this sort of volatility was present in the USD, that would mean that one day everything I have could be worth 50 percent less (or more) then the last. While it is good when the price goes it, it isn't good at all (it's horribly catastrophic) if the price is to crash and you lose value in pretty much everything

Volatility must stop if we want to become a currency.

Volatility is a very big deal in bitcoins and though in some ways it’s help people make money, its other effects are all negative because it’s the reason why most people are not investing anymore and why most businesses are not adopting bitcoin as a payment method.

Well i don't think btc is trying to establish itself as a firm currency at this point. Btc is likely still at a growing stage and people don't see it yet as a currency. And people flock to it because of it's potential to produce profit. And that's because of it's volatile nature that people take advantage of.

[Best Dreams]

yes, bitcoin volatility has no issue, everything is normal and stable, bitcoin only takes a long time to rise again and then create a bullish market.

lightning network and G20 support also can not make bitcoin rise fast, but only make bitcoin stable at 8K and 9K.

You are right bitcoin price will be high and low it is not a big deal as if today price is low then there are 100% chances for it to become high, bitcoin has volatile nature which is best feature according to me because it gives people to opportunity to buy at low and sell at high for me I am really blessed  because I have got the chance to buy at cheap price of 9k two months ago while now price is almost 12k so it is increasing all this has become possible only with volatility of bitcoin.

[Snaic]

The volatility of bitcoin is not a problem for ordinary investors and traders who trade on stock exchanges. They can earn a good profit on bitcoin volatility. However, this is a big problem from the point of view of any state. To have such unstable money of such astronomical value is a headache for every state. From the point of view of the state, in order that bitcoin does not harm the country's economy, a very balanced and subtle regulation of it must be done.

[Rudolph White]

Don't worry. One reason why Bitcoin may fluctuate against fiat currencies is the perceived store of value versus the fiat currency. Bitcoin has properties that make it similar to gold.  It is governed by a design decision by the developers of the core technology to limit its production to a fixed amount, 21 million BTC.

[Powerpuff]

It's only volatile right now, and not ready for day to day use. We are still in the baby stages of this tech, it needs to grow into itself. Imagine when hard currency was first developed and how long it must have taken to gain mass acceptance, we are in the same boat. Bitcoin and crypto isn't just currency, it's a paradigm shift in what money and economics are.

[levvv]

I know that this subject has been discussed many times before, but lest we forget when yet another conventional financial journalist, investor, money manager, perceived thought-leader et al pronounces on why Bitcoin will fail because it is too volatile to be used as a currency or store of value:

• Each Bitcoin transaction is a zero-sum game -- one party benefits to the same extent that the other does not benefit. So one party is guaranteed always to be fine with the volatility. And neither party knows for sure (or at all) who that beneficiary will be.
• The purchaser of a bitcoin has still spent the same amount of fiat no matter what the volatility after the purchase.
• The premise that the aggrieved party could have done this or that instead of send someone a bitcoin that later appreciated in value has no more merit than to say that that party could have bought a stock or bond that later did well too. In each case, they simply did not have the information needed in time. Shoulda coulda woulda is not a valid argument.
• If Bitcoin were impractical as a currency, the dark web would not use it. There would be no Bitcoin-using dark web. 
  
• Many things have been used as currency. Anything tradeable and of proven long-term value (like gold) or expected shorter-term value (like packs of Kent cigarettes in communist Romania) can be used as a practical currency, and have. Before WWI, travelers checks had the rate of conversion printed on them because it was expected that the gold-back currencies backing them would be stable. And so they were. The fact that fiat currencies require electronic conversion-rate signs today shows that their stability is entirely an illusion. They are not stable.
  
  

The argument that Bitcoin's volatility specifically negates its value as a store of value is clearly false as well. Stocks and commodities and their futures (as well as the effective interest rates of some bonds) are highly volatile. The mantra is that you accept their risk in exchange for growth. Fine. But volatile Bitcoin has growth potential too -- lots of growth potential. Both Bitcoin and Ethereum, as systems of decentralized, immutable, economical, sustainable, and perfectly legal data-registration means that everyone will become their own notary public. The implications for intellectual property protection are arguably beyond what we can now imagine.

Underlying all of Bitcoin's volatility is an unchanging protocol that is proven to work -- and expected to grow.

A good analysis. There is nothing to be afraid with bitcoin and cryptocurrency volatility.
many traders using volatility to trade their coins. Volatility is not bad. it is giving a newcomer in crypto an easy way to join.
otherwise crypto price will be stable at high, making a small investors hard to join because the value already high.

[Btcepoy11]

Before we do bitcoin we already know that it is so volatile, it is not an issue anymore. For being volatile bitcoin have a high value, and if we say volatile there's an opportunity with it.

[Zahrowil Qolbi]

I like Uberse's style. He stealthily included Ethereum in the article in a sentence that says both BTC and ETH are good stores of value lol.

Ethereum is not a good store of value because what it promises to deliver will not be delivered. Lets watch how long they can keep the ongoing scam last.

I totally agree with your views. they often do this. they often make articles that are about bitcoin but they cunningly put another altcoin name in it to say this article also includes the altcoin. the fact is that ethereum is one of the worst things you can invest, not because of its volatility but because it is inflationary.

[suraza21]

It is a very big issue alright. Bitcoin is meant to be a base currency where virtually all other cryptocurrencies trade against. If its volatility begins to affect the coin movement of the community of altcoins, then it should be seen as a very serious issue that will hamper the growth of other coins

I agree with the view that bitcoin's fluctuations are not the main problem in the cause of the changes that make it fluctuate, since it is its attribute so we may not care about the characteristic. of them

[a_t_e_e_b]

it is a issue as due to this volatile nature it is not being able to be used as main stream currency
but on the other hand it is a important for trading as this volatile nature helps to keep the market alive and active