Bitcoin exchange rate volatility affects everybody who uses Bitcoin as a currency or trades it as an asset. Hoewever, the available material about Bitcoin volatility is limited. Therefore it’s time for some investigation. The results are somewhat counter-intuitive. That makes the whole topic even more worthwile. 1. What is Bitcoin volatility For any traded currency or asset, volatility is a measure for the dispersion of value changes around the average change. Changes in value are usually looked at on a day to day basis. Value changes are measured as relative or percentage changes. That’s because only relative changes are comparable between different assets and over time. To give an example: if the Bitcoin price goes from USD 100 to USD […]
The post Bitcoin Volatility – The 4 perspectives appeared first on Bitcoin Magazine.
Bitcoin exchange rate volatility affects everybody who uses Bitcoin as a currency or trades it as an asset. Hoewever, the available material about Bitcoin volatility is limited. Therefore it’s time for some investigation. The results are somewhat counter-intuitive. That makes the whole topic even more worthwile. 1. What is Bitcoin volatility For any traded currency or asset, volatility is a measure for the dispersion of value changes around the average change. Changes in value are usually looked at on a day to day basis. Value changes are measured as relative or percentage changes. That’s because only relative changes are comparable between different assets and over time. To give an example: if the Bitcoin price goes from USD 100 to USD […]
The post Bitcoin Volatility – The 4 perspectives appeared first on Bitcoin Magazine.
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