Hey, I have some moderate experience over this crypto world. Why the market is extensively volatile. Alike traditional market does crypto too impacted of many major changes.
The current cryptocurrency is still not accepted by most people. As the global economic market changes, the financial market will change at any time, and cryptocurrencies are among them.
According to an article on cointelegraph.com, another reason that can make the market volatile is herd mentality. Here is link to the article and it explains a lot on why Bitcoin is volatile -
https://cointelegraph.com/news/why-is-the-cryptocurrency-market-so-volatile-expert-take/ampI think there are lots of reasons as to why the cryptocurrency is volatile. The number one I will say is that it has no regulation. Having limited regulation makes it easy for people to manipulate the market to any direction. And another thing that makes it volatile is not having institutional capital, and this is caused by the fact that it is not being regulated and due to the manipulation. There are lots of reasons.
So, anyone that feels like they want to know why the price of cryptocurrency is volatile should go through the article, it teaches a lot of things and also says the possible for the volatility to be controlled.