Bitcoin Proves Its Mettle, Becomes Less Volatile Than Major Tech Giants
Bitcoin Proves Its Mettle, Becomes Less Volatile Than Major Tech Giants The volatility of Bitcoin is currently lower than that of some of the largest tech equities, such as AMD, Nvidia, and PayPal. This shift represents an important turning point in the cryptocurrency’s development from a speculative asset to a more reliable investment choice. Data from IntoTheBlock indicates that this development is a result of growing institutional engagement with a maturing market. Bitcoin In Relation To Tech Stocks In an interesting development, the price volatility of bitcoin has become more stable than the swings in stocks of well-known tech giants. Cryptocurrencies have, in fact, long been known for their wildly fluctuating prices, which typically deter cautious investors. Bitcoin’s price has been less volatile over the last three months than the stock prices of tech heavyweights like PayPal, Nvidia, and AMD, according to statistics released by IntoTheBlock in an X post on Wednesday, January 15. In particular, Bitcoin fluctuated 34% throughout that time, compared to 37%, 43.30%, and nearly 40% for PayPal, Nvidia, and AMD, respectively. Bitcoin is currently less volatile than many major tech stocks pic.twitter.com/chuE2x1h4T — IntoTheBlock (@intotheblock) January 15, 2025 Metrics Show Stability What does “volatility” in the crypto market mean? It refers to how quickly the prices of cryptocurrencies change. Big price changes happen very fast, which shows how unpredictable the market can be. Things like news, changes in supply and demand, or the mood of investors can all lead to this. High volatility means prices change a lot, while low volatility means they stay more stable. Various indicators, including the Bitcoin Volatility Index (BVOL), demonstrate a reduction in volatility. It monitors the fluctuations in Bitcoin’s price over time and, according to its current performance, is approaching its lowest level in months. Analysts, including those of Ark Invest, explain that this has to do with higher liquidations and greater adoption from institutional players, such as asset managers and large-scale funds, which stabilize by trading in bigger volumes. BTCUSD trading at $99,020 on the daily chart: TradingView.comWhat It Means For Investors A new generation of investors may become available if volatility lowers, especially those institutions that have long shunned Bitcoin because of its unpredictable nature. More stability in bitcoin, the world’s most popular cryptocurrency, would also make it a better store of value, comparable to traditional assets such as gold. This could help to increase its position in diversified investment portfolios. 2025 And Beyond: Bitcoin’s Maturity Journey Bitcoin is becoming more stable, which could help it gain more trust from investors and financial institutions. Its reduced volatility shows it’s changing from a risky asset to a more reliable one. This could make the crypto asset a better choice for long-term investments. People are watching closely to see how it grows in the future and how it fits into the global financial system as a stable and trusted option. Featured image from Brookings Institution, chart from TradingView Christian Encila They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn. Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later). Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley! So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill). Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair. Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better. Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies. Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects. So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one. Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.