Although many are wanting and hoping that bitcoins volatility to decrease, we can't deny the fact that volatility is bitcoins feature that we all know that bitcoins highly-volatile nature was emphasized experiencing high fluctuations and undermines bitcoins ability to function as a currency. There are lots of factors that explains why bitcoin is so volatile and we could consider answering your question. The factors are as follows: Market size, low liquidity, regulations, news events, shifting sentiment, unequal wealth, and key role of speculation.