Volatility is part of what defines Bitcoin and some other cryptocurrencies.
If you're going to look closely, altcoin market is more volatile than bitcoin, believed me.
As the industry matures, the rise of cryptocurrencies that tracks the performance of less volatile traditional assets like real estates and commodities will likely bring a lot of beauty to the cryptocurrency industry. I believe that a mix of more volatile crypto assets and less volatile assets will give traders a lot of options to enjoy while trading.
I didn't get your second point here, there could be investors from other industries like you mentioned are going full crypto now. Maybe because there'a a lot of money to be made here, or they just simply wanted to diversify their portfolio, which is a good practice. But I do hope that those investors are going to pick bitcoin or some altcoins that has strong support and good marketcap instead of shitcoins.