Cryptocurrency is often criticized for its price volatility. Some solutions are attempting to control price volatility by price controls (i.e. USDT, Ample). Is this really the correct solution?
The current crypto price volatility is caused by 100% buyer demand dependency on speculative trading. Emotional speculators turn with the latest news or hype. Of course, prices will be most volatile when they are solely dependent on speculation.
More mature publicly traded assets like gold and silver don't have the price volatility of crypto because the majority of their buyer demand comes from their utility. Gold and silver are guaranteed to be purchased regularly for its utility purpose of manufacturing electronic components, jewelry, etc.
Similar to the dot com era, many napkin ideas had millions of dollars thrown at them, but the only ones that survived were the ones with a sustainable business model.
As crypto matures, the successful projects will be those that create the majority of their buyer demand from real utility.
yes your point is valid because the stable kinds makes some changes in the price volatility but we cannot 100% sure about it will only the solution for that but it make changes this problem.