Normal stocks don't fluctuate between $20 and one cent (bitcoin does). Everything in this post is wrong.
Aren't stocks less volatile? I mean, last week Bitcoin price dropped 20% in one day.
With the possible exception of penny stocks, which are the stock market equivalent of roulette, Stocks generally tend to be stable. Why? Because they have things like the SEC, which makes sure that companies are reporting their earnings properly, aren't running off with shareholder's money *ahem*mybitcoin*ahem* or things of that nature.
Bitcoin dropped 20% in one day because pictures of Bill Cosby showed up on this forum, while 'normally' the price fluctuates by %30 every day. Magic: The Gathering Online Exchange was hacked and bitcoin crashed to one cent, all they did was call a do-over and reset everything the next day.
Here in Italy stocks can't fluctuate that much because there is a protection system that avoid any fluctaution over the 10% (both in high or in low) in a day halting the trade on that stock if that's occours. A lot of times there are stocks that can loose over 7-10% in a day, and are not penny stock but stocks in the mib20 (the top 20 stocks of the italian market).
But you're true that bitcoin is a lot more weak system: is really easy for speculator move the price up or down.