Post
Topic
Board Economics
Re: Is Bitcoin Volatility A Bad Thing?
by
Celine Ariola
on 05/02/2018, 07:05:24 UTC
Bitcoin is so volatile that your ability to buy and sell at the right price is diminished, hence the lower risk-adjusted returns. Bitcoin volatility can be traded. It is important to watch out for this parameter, as it shows the market sentiment of the underlying product.

The higher the implied volatility, the more expensive is the call option. It is a good thing for now.

http://www.businessinsider.com/bitcoin-volatility-risk-adjusted-return-worse-than-stocks-2017-12