Getting used to the volatility of the crypto market at first is difficult, but over time it becomes normal. However, volatility is a common characteristic of financial assets, as it is what helps us to understand the risks of our trades.
Cryptocurrencies in turn are constantly varying their price quotes and intensely, and the risk of making a profit or loss becomes the same. The more volatile an asset is, the more risk its trades involve, because it will be possible to profit or not.
And why so much volatility?
In part, the adhesion on the part of society is still low considering other investments, that is, if there is a smaller volume of investors moving that asset, consequently a smaller number of investors is also needed to impact the price of currencies, both positive while negatively, this little trend makes currencies more volatile.
Even though the scenario still looks unfavorable, we know that blockchain technology is still little known by society, especially by more lay investors, and that is why cryptocurrencies can suffer the consequences of an unprepared and biased media.
Another important issue to be talked about is the regulation of cryptocurrencies, which is something that also impacts the price quotation and its volatility.
It is worth remembering that the crypto market works around the clock for 24 hours, 7 days a week, so all the time and at any time of the day there are people speculating and moving currencies, and the tendency of the currency to fall or rise happens any time of the day.
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