Bitcoin and resilience – Two words that lovers of the queen of cryptocurrencies like to associate. And for good reason ! While the BTC is often associated with high volatility, a recent analysis reveals that theiconic bitcoin is now more stable than the shares of Amazon and Meta, the Web2 giants.
When Bitcoin becomes synonymous with stability
The volatility of bitcoin price has long been considered a notorious characteristic of BTC against assets such as gold, fiat currencies and stocks.
However, a recent analysis by The Block Research shows that the bitcoin volatility has considerably diminished reaching an annualized rate of only 32%, its historical average being 71%.
This increased bitcoin stability is all the more remarkable when compared to the actions of Amazon and Meta. The two tech giants posting volatility rates of 44% and 34% respectively.
In fact, BTC is more stable.
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Idleness for bitcoin this summer?
This is confirmed by analyzes from The Block. The summer period is often characterized by a drop in trading volume and a certain tranquility in the markets. This lull was seen in bitcoin, which experienced a period marked by unusually low volatility.
Let us qualify these observations, however, and note that the volatility of the king of cryptocurrencies should not be considered as a new long-term normal. THE bitcoin bull run being long overdue, many are the predictions which, after this flat calm, announce high volatility of BTC, an exercise that Arthur Hayes tried recently.
More stable than certain shares of large groups like Amazon and Meta dependent on the economic context, bitcoin has therefore been able to show resilience. Once again, however, certain nuances remain in order, while bitcoin may have been seen as a stable investment during the banking crisis, the central banks guided by the USA, they are standing up to save the dollar.
Bitcoin is tough and resilient. Tomorrow or in some time, you will be happy to have bought some during the crisis. Don’t wait too long to take advantage of the current buying conditions, and save another 10% on your trading fees by following this link! So run to register on Binance (commercial link).