What makes Bitcoin so volatile is people using it like a pokemon card to trade and play with instead of using it as an alternative and decentralised currency financial implement as it was intended.
Trading of crypto has set back the aims of Cryptocurrency by 10 years as although blockchain technology is gaining some mainstream acceptance, Bitcoin and crypto is struggling to catch ln the psyche of the general public. How can anyone take it seriously with all the huge volatility? If it were used for everyday purchases, it would be impossible due to its instability.
Until we get stability and kids stop playing with it, it will never stabilise and never replace the existing financial system, and that would be sad beyond belief.
Crypto currencies are highly unpredictable/ volatile.
These are mainly based on the speculations and trend change very sharp.
Same has happened again, some news/ speculations have spread and all the investors got panic and started selling their holdings.
A crypto market is not regulated by some regularity authority so there is no one to safeguard the interest of small investors.
As some large selling and buying is observed or some news is broke, crypto market reacts very fast.
In situation like this one should remain calm and should not take decision in haste.
Decentralized technology is still new to the world. Its market penetration and adoption is still negligible.
With the passage of time as more and more people are aware of this technology, it is becoming more and more popular.
Now even many countries has started accepting this as currency and many other are in the process of adopting.
So in future a more countries will jump into it and it will gain more trust of people. Its value will also increase.
Bitcoin is volatile because is not bind to Euro or USD, if a state decide to price stuff in Bitcoin and the volume of the exchanges increase it will be more stable