Do On-chain Activities Suggest Bitcoin Volatility Will Continue?

[JessicaVL]

The short answer to this is yes, but we all know that the short answer never does Bitcoin any justice. So what is the long answer you may ask? Well, there is no one long answer, but there are a couple of indicators and factors that may hold the answer.

One of the factors that play a role in volatility is the activity of Crypto Whales and here is how: https://www.tap.global/on-chain-activities-suggests-bitcoin-volatility-will-continue

Do you think Crypto Whales play a significant role in Bitcoin price volatility?

[kryptqnick]

The short answer to this is yes, but we all know that the short answer never does Bitcoin any justice. So what is the long answer you may ask? Well, there is no one long answer, but there are a couple of indicators and factors that may hold the answer.

One of the factors that play a role in volatility is the activity of Crypto Whales and here is how: https://www.tap.global/on-chain-activities-suggests-bitcoin-volatility-will-continue

Do you think Crypto Whales play a significant role in Bitcoin price volatility?

I don't think so. Every time there's a talk about the whales, it's usually poorly supported by evidence. It usually turns out to be a big exchange moving money from one wallet to another or something similar. In many cases, it's just about unknown wallets, so it's impossible to prove or disprove a claim that it's a whale. I think that a chain reaction of 'middle-class' Bitcoin owners that act out of FOMO or due to FUD. Bitcoin is volatile, but it seems that its volatility decreases with time. I know that Bitcoin ownership is largely centralized (there are about a hundred richest addresses that possess the vast majority of BTC), but it doesn't mean it's whales.

[Darker45]

Do you think Crypto Whales play a significant role in Bitcoin price volatility?

Yes, they do, of course. But we need to take note that they are not the only players in the market. As a matter of fact, they are the small minority. The rest of the Bitcoin owners, HODLers, users, traders, and so on are not really whales. They are ordinary individuals like us owning several Bitcoins at most. I would even say that the majority of them are sheep rather than whales. They would decide and act according to the general sentiment of the market. They fall for news both fake and real, FUD, FOMO, and so on.

[avikz]

The short answer to this is yes, but we all know that the short answer never does Bitcoin any justice. So what is the long answer you may ask? Well, there is no one long answer, but there are a couple of indicators and factors that may hold the answer.

One of the factors that play a role in volatility is the activity of Crypto Whales and here is how: https://www.tap.global/on-chain-activities-suggests-bitcoin-volatility-will-continue

Do you think Crypto Whales play a significant role in Bitcoin price volatility?

Since when bitcoin didn't have volatile price? Bitcoin's volatility is the only parameter that makes it a great trading and speculating asset. If bitcoin's price was not volatile, no one would have used it as a trading asset. We use it as a trading asset because bitcoin's price is volatile and we try to ride that volatility to make profit for ourselves!

Regarding crypto whale manipulation, we also need to understand that they are traders like us, who wants to ride the same volatility to make money out of it. The buy it when the price is low and sell it when the price is high. It's the same logic that we all apply while trading. The only difference is that, whales have deep pocket and we don't!

[dothebeats]

Huge movement of coins on fhe blockchain still affect trading nowadays, even if they offer little to no clues as to whether it could be someone buying or someone selling. Traders still see this as an omen of bad luck, or a good thing since someone might be buying huge coffers in a single go. Wait 'til bitcoin is fully dispersed in many more hands and see the effect of this huge movements get little and little until such time that it no longer matters. Volatility remains in the near future though we can hope that bitcoin reaches far more hands and far more people become their own banks.

[bitmover]

Bitcoin is performing so well

All stocks around the world are bleeding while btc is holding strong above 9k

It may be a good moment to sell some for some good stocks,  which are cheap everywhere
But I am still holding mine.

[LUCKMCFLY]

Although Bitcoin volatility since the end of 2019 was a bit slow, oil managed to have higher volatility rates than Bitcoin, but due to the current fundamentals that have affected the falling markets, due to the coronavirus, this means that at any time Bitcoin volatility will be noticed due to these important movements.

[pooya87]

that is bullshit for multiple reasons. for starters you can not see whale activities ever. you can make a very wild guess that a certain transaction may belong to a whale but you still can't tell what the hell that whale is doing with the coins he moved. additionally the "on-chain" activity has very very little to do with the price (and volatility) because price is determined on exchanges and they are not "on-chain"! in other words price is volatile because the order books on exchanges are not packed yet and could be easily manipulated with a big dump or a big buy.

[Ozero]

Bitcoin will always have high price volatility. A more stable bitcoin is not possible, but if this happens, it will already be a completely different bitcoin that does not match the vision of Satoshi Nakamoto.
Bitcoin pricing is influenced by each cryptocurrency marketer, and this effect depends on how large volumes of cryptocurrency are sold or bought by its specific participant.

[Nadziratel]

Bitcoin will always have high price volatility. A more stable bitcoin is not possible, but if this happens, it will already be a completely different bitcoin that does not match the vision of Satoshi Nakamoto.
Bitcoin pricing is influenced by each cryptocurrency marketer, and this effect depends on how large volumes of cryptocurrency are sold or bought by its specific participant.

I agree that most of the reason for the high volatility is whales, but it is impossible to last forever. Once one day there is nothing profitable, whales will start looking for prey elsewhere. In order for this to happen, the Bitcoin distribution needs to become more fair. Sharing BTC with more people will help a lot with volatility. Moreover, in this way, Bitcoin will find its true value more easily.

[davis196]

The short answer to this is yes, but we all know that the short answer never does Bitcoin any justice. So what is the long answer you may ask? Well, there is no one long answer, but there are a couple of indicators and factors that may hold the answer.

One of the factors that play a role in volatility is the activity of Crypto Whales and here is how: https://www.tap.global/on-chain-activities-suggests-bitcoin-volatility-will-continue

Do you think Crypto Whales play a significant role in Bitcoin price volatility?

Bitcoin price volatility will continue forever,because the global Bitcoin supply is limited to 21M(and because lot's of BTC users are just HODLers,which reduces the global Bitcoin supply even further).
With or without crypto whales,the Bitcoin price volatility will never stop.It might get lowered to a sertain degree via mass adoption,but as a matter of fact,price volatility is what actually stops further mass adoption of Bitcoin.I know that crypto whales play some role in the price volatility,but their influence will decrease slowly,as more and more people will enter the world of Bitcoin.

[Coyster]

Bitcoin will always have high price volatility. A more stable bitcoin is not possible, but if this happens, it will already be a completely different bitcoin that does not match the vision of Satoshi Nakamoto.

I don't think volatility is part of the visions of Satoshi, there has been an incessant/unceasing debate as to between stability and volatility which is the most  behooveful for bitcoin enthusiasts, for now it's more volatile than stable, and as a result any movement is attributed to a particular phenomena, just like the whales as OP states.

Whales are not actually doing anything wrong just as people are made to believe, most especially the newbies, they do their trading, on a very massive scale and it can turn out to have an inimical effect on the price and affect us who invest with tokens compared to them, if I were to be stocked with the capital they have, I'll do the same and make my profit.

[Kemarit]

Bitcoin has been volatile since it started trading. Whales, we really don't know who the hell we are referring to, no identify, we can only track Bitcoin addresses and assumed that a huge movement of funds belong to them.

As far as on-chain activities, doesn't matter Bitcoin will remain volatile, regardless of whales controlling or manipulating the price. Market is open 24x7/365, traders are born every minute.