Your summary seems to be missing a critical point - the volatility of crypto like Bitcoin is driven because there are a finite amount of bitcoins and a portion of those are being traded around by speculators. The more hedge funds, pension plans and central banks that buy these assets to store them indefinitely, the lower the volatility. That is why we are seeing less wild swings compared to the past, as it marches gradually upwards the corrections are reducing. Sure, it might suffer if there is a recession in the major economies of the world but that is often true for stocks and other assets. Central banks should just make sure they keep proportion and don't go too heavy on any particular type of asset.
You are quite right, but alas partially. It is not just the speculators, it is the situation that there are always a lot of weak hands in the market. They are the kind of people that are afraid to lose money, and they are easily manipulated. The big guys combine their connections in the media with large market movements to create artificial downtrends and crashes to shake these people out. Because they can short using big liquidity and leverage, they make a lot of money even when Bitcoin is going down.
But you are definitely right. As the market matures and continues to grow, it will be harder and harder to do this and we should see limited swings even during big events. A real reserve is something that you don't sell because of short term market behavior. If you do, then it is an investment.