{"id":33978,"date":"2026-10-13T09:48:55","date_gmt":"2026-10-13T09:48:55","guid":{"rendered":"https:\/\/www.bitnovo.com\/blog\/?p=33978"},"modified":"2026-10-13T09:48:55","modified_gmt":"2026-10-13T09:48:55","slug":"what-is-volatility-and-why-does-crypto-move-so-much","status":"publish","type":"post","link":"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much","title":{"rendered":"What is volatility and why does crypto move so much"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-transparent ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Alternar tabla de contenidos\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #ffffff;color:#ffffff\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #ffffff;color:#ffffff\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#why_is_it_useful_to_understand_volatility\" >Why is it useful to understand volatility?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#how_it_is_measured\" >How it is measured<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#why_crypto_is_more_volatile_than_other_assets\" >Why crypto is more volatile than other assets<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#a_young_market_with_lower_liquidity\" >A young market with lower liquidity<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#news_sentiment_and_lack_of_a_unified_regulatory_framework\" >News, sentiment and lack of a unified regulatory framework<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#speculation_and_greater_weight_of_the_retail_investor\" >Speculation and greater weight of the retail investor<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#absence_of_traditional_valuation_models\" >Absence of traditional valuation models<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#volatility_and_risk_what_relationship_do_they_have\" >Volatility and risk: what relationship do they have<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#not_all_cryptos_move_the_same\" >Not all cryptos move the same<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#what_it_implies_for_you\" >What it implies for you<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-volatility-and-why-does-crypto-move-so-much\/#frequently_asked_questions_about_volatility\" >Frequently asked questions about volatility<\/a><\/li><\/ul><\/nav><\/div>\n<span class=\"span-reading-time rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Tiempo de lectura:<\/span> <span class=\"rt-time\"> 6<\/span> <span class=\"rt-label rt-postfix\">minutos<\/span><\/span><p>In traditional financial markets, volatility is nothing more than the measure of how quickly and how much the price of an asset changes in a given period. A <strong>low-volatility<\/strong> market moves in a slow and predictable way, while a <strong>high-volatility<\/strong> one experiences sharp oscillations, recording pronounced highs and lows in brief periods.<\/p>\n<p>Taken to the terrain of cryptocurrencies, this dynamic reaches a totally different scale. If you ever checked the price of a token in the morning and looked again in the afternoon with the feeling of seeing a different asset, you have already experienced this property firsthand. The ability of Bitcoin, Ethereum and thousands of projects to record <strong>double-digit variations<\/strong> in a matter of hours is not a system failure or a temporary anomaly, but a <strong>structural characteristic<\/strong> of the ecosystem.<\/p>\n<p><img fetchpriority=\"high\" decoding=\"async\" class=\"aligncenter wp-image-27263\" src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/07\/Volatilidad-300x200.jpg\" alt=\"\" width=\"700\" height=\"467\" srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/07\/Volatilidad-300x200.jpg 300w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/07\/Volatilidad-1024x683.jpg 1024w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/07\/Volatilidad-768x512.jpg 768w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/07\/Volatilidad-1536x1024.jpg 1536w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/07\/Volatilidad.jpg 1920w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/p>\n<p>As trading psychology specialist <a href=\"https:\/\/www.goodreads.com\/author\/quotes\/148119.Mark_Douglas\">Mark Douglas<\/a> pointed out, in markets \u00abanything can happen.\u00bb Understanding that volatility is part of the <strong>financial DNA<\/strong> is what separates those who participate knowing what to expect from those who are carried away by panic at the first drop. In the following lines you will see what causes this behavior, how it differs from risk and what it really implies for your pocket.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"why_is_it_useful_to_understand_volatility\"><\/span><strong>Why is it useful to understand volatility?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><strong>Managing realistic expectations<\/strong>: To avoid panicking when your portfolio drops 20% in a day, knowing that it is part of the game.<br \/>\n\u2022 <strong>Designing investment strategies<\/strong>: To choose active trading or long-term <a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-does-hodling-mean-in-crypto\">HODL<\/a>, according to your risk tolerance.<br \/>\n\u2022 <strong>Protecting your capital<\/strong>: To learn to use tools and diversification that limit losses in sharp drops.<br \/>\n\u2022 <strong>Controlling investor psychology<\/strong>: To recognize and combat FOMO on rises and FUD on falls.<br \/>\n\u2022 <strong>Identifying opportunities<\/strong>: To see market corrections not as disasters, but as possible buying moments for solid projects.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"how_it_is_measured\"><\/span><strong>How it is measured<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Measuring volatility does not require complex mathematics or guessing where the market will go; it is simply calculated how wide the jump in prices is relative to their usual behavior.<\/p>\n<p><img decoding=\"async\" class=\"aligncenter wp-image-33979\" src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/2-26-300x169.jpg\" alt=\"\" width=\"700\" height=\"394\" srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/2-26-300x169.jpg 300w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/2-26-1024x576.jpg 1024w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/2-26-768x432.jpg 768w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/2-26-1536x864.jpg 1536w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/2-26-2048x1152.jpg 2048w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/p>\n<p>To measure this intensity, four main tools are used:<\/p>\n<ol>\n<li><strong>Historical volatility<\/strong>: Calculates how much the price has deviated from its average in a given period. The greater the deviation, the sharper the movement.<\/li>\n<li><strong>Average True Range (ATR)<\/strong>: Shows the average that an asset moves on a normal day.<\/li>\n<li><strong>Bollinger Bands<\/strong>: A visual indicator on charts that draws a channel around the price. If the bands narrow, volatility is low; if they widen, volatility has skyrocketed.<\/li>\n<li><strong>Volatility indices<\/strong>: They work as a \u00abfear thermometer.\u00bb<\/li>\n<\/ol>\n<h2><span class=\"ez-toc-section\" id=\"why_crypto_is_more_volatile_than_other_assets\"><\/span><strong>Why crypto is more volatile than other assets<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Now then, volatility in the digital ecosystem is not a random phenomenon or a calculation error. On the contrary, it responds to very specific <strong>structural causes<\/strong> that differentiate digital assets from traditional markets. Below, we show you the key factors that explain this dynamic:<\/p>\n<h3><span class=\"ez-toc-section\" id=\"a_young_market_with_lower_liquidity\"><\/span><strong>A young market with lower liquidity<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>First, it is worth remembering that the crypto industry is extremely young compared to century-old stock or bond markets. For this reason, the total capital circulating in it is significantly lower. As a direct consequence of this <strong>limited liquidity<\/strong>, the entry or exit of large volumes of money can abruptly shift the quotation, causing sharp variations that in the traditional stock market would be cushioned by much larger volumes.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"news_sentiment_and_lack_of_a_unified_regulatory_framework\"><\/span><strong>News, sentiment and lack of a unified regulatory framework<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Second, the information environment acts as an immediate catalyst for prices. Because there is no uniform global regulation and the legal stance varies widely between countries, any government announcement, such as bans, regulations or tax changes, generates a direct and instantaneous <a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-the-current-fear-and-greed-index-solana\">impact<\/a>.<\/p>\n<p><img decoding=\"async\" class=\"aligncenter wp-image-26688\" src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/04\/Volatilidad--300x200.jpg\" alt=\"\" width=\"700\" height=\"467\" srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/04\/Volatilidad--300x200.jpg 300w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/04\/Volatilidad--1024x683.jpg 1024w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/04\/Volatilidad--768x512.jpg 768w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/04\/Volatilidad--1536x1024.jpg 1536w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2023\/04\/Volatilidad-.jpg 1920w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/p>\n<p>Likewise, since there is no closing schedule that allows information to be assimilated, news about technological advances, security incidents or simple statements by influential figures provoke real-time reactions that accentuate instability.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"speculation_and_greater_weight_of_the_retail_investor\"><\/span><strong>Speculation and greater weight of the retail investor<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>On the other hand, the composition of participants plays a determining role. Historically, the crypto market has had a prominent presence of retail investors, a profile prone to <strong>herd behavior<\/strong> and <strong>emotional decision-making<\/strong>. The pursuit of quick movements in short timeframes intensifies buying or selling pressure, fueling speculation both in moments of enthusiasm and uncertainty.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"absence_of_traditional_valuation_models\"><\/span><strong>Absence of traditional valuation models<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Finally, unlike companies listed on the stock exchange, digital assets lack a universally accepted <strong>valuation model<\/strong>. Consequently, the price tends to be set based on future expectations, perceived utility and immediate supply and demand, which leaves a much broader margin for quotation oscillation.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"volatility_and_risk_what_relationship_do_they_have\"><\/span><strong>Volatility and risk: what relationship do they have<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Likewise, after understanding the factors that cause these variations, it is common to confuse volatility with risk. However, there is a key difference: volatility measures the amplitude of price oscillations, while risk evaluates the probability of suffering a <strong>loss of capital<\/strong>.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-33980 size-full\" src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/4-21.jpg\" alt=\"\" width=\"612\" height=\"377\" srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/4-21.jpg 612w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2026\/10\/4-21-300x185.jpg 300w\" sizes=\"(max-width: 612px) 100vw, 612px\" \/><\/p>\n<p>On one hand, volatility reflects the intensity of daily movement. On the other hand, risk contemplates the real possibility of losing all the money invested, whether due to project failures, lack of liquidity or unforeseen events.<\/p>\n<p>In short, volatility indicates how turbulent the journey is, but <a href=\"https:\/\/www.bitnovo.com\/blog\/riesgos-de-invertir-en-criptomonedas#pll_switcher\">risk<\/a> determines the possibility of losing the funds.<\/p>\n<table style=\"height: 57px;\" width=\"1124\">\n<thead>\n<tr>\n<td>\n<p style=\"text-align: center;\"><strong>Concept<\/strong><\/p>\n<\/td>\n<td style=\"text-align: center;\"><strong>Definition in crypto<\/strong><\/td>\n<td>\n<p style=\"text-align: center;\"><strong>Implication for the user<\/strong><\/p>\n<\/td>\n<\/tr>\n<\/thead>\n<tbody>\n<tr>\n<td>Volatility<\/td>\n<td>Amplitude of price change over time.<\/td>\n<td>Generates short-term uncertainty, but also entry\/exit opportunities.<\/td>\n<\/tr>\n<tr>\n<td>Risk<\/td>\n<td>Probability of patrimonial loss.<\/td>\n<td>Increases when trading with leverage, insecure custody or low-liquidity assets.<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<h2><span class=\"ez-toc-section\" id=\"not_all_cryptos_move_the_same\"><\/span><strong>Not all cryptos move the same<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>On the other hand, assuming that the entire digital asset market behaves the same way is a common mistake. The intensity of fluctuations varies considerably depending on the category, use and liquidity level of each project.<\/p>\n<p>In this sense, <a href=\"https:\/\/www.bitnovo.com\/blog\/en\/stablecoin-what-is\">stablecoins<\/a> were born precisely to counteract market oscillations, being designed to maintain a <strong>1:1 parity<\/strong> with a reference value. This allows users to remain within the digital environment while maintaining a value equivalent to the currency.<\/p>\n<p>However, the fact that their design seeks to avoid volatility does not mean they are free of risk. The stability of these assets depends entirely on the strength of the reserves that back them, the transparency of the issuing entity and the efficiency of their conversion mechanisms, factors that can fail if the backing is compromised.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"what_it_implies_for_you\"><\/span><strong>What it implies for you<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Regulatory bodies such as the <a href=\"https:\/\/www.cnmv.es\/webservices\/verdocumento\/ver?t=%7b0cd6d50d-00f1-42b4-9b5b-0a230e0e7e80%7d\">CNMV<\/a> in Spain and European authorities (ESMA, <a href=\"https:\/\/www.eba.europa.eu\/sites\/default\/files\/document_library\/Publications\/Warnings\/2022\/ESAs%20warning%20on%20crypto%20assets\/Translations\/1028369\/ESA%202022%2015%20Joint%20ESAs%20warning%20on%20crypto-assets_ES.pdf\">EBA<\/a> and <a href=\"https:\/\/www.eiopa.europa.eu\/publications\/warning-consumers-risks-crypto-assets_en\">EIOPA<\/a>) repeatedly remind that high volatility and the lack of guarantees in many projects can mean the <strong>total loss of capital<\/strong>. For this reason, they urge not to allocate money that one is not willing to lose and to distrust offers with \u00abguaranteed\u00bb returns.<\/p>\n<p>The fact that an asset is volatile requires adjusting expectations and decision-making to that reality:<\/p>\n<ul>\n<li><strong>You can win and lose quickly<\/strong>: The same force that produces striking rises generates equally rapid falls.<br \/>\n\u2022 <strong>The short term is unpredictable<\/strong>: Trying to guess tomorrow&#8217;s movement is more like betting than analyzing.<br \/>\n\u2022 <strong>Emotional management is key<\/strong>: Many losses do not come from the asset itself, but from reacting prey to panic or euphoria.<br \/>\n\u2022 <strong>Position size defines the impact<\/strong>: Allocating capital needed in the short term to a volatile environment becomes a direct source of stress.<\/li>\n<\/ul>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-21517\" src=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2025\/03\/cinco-estrategias-cripto-portafolio-volatilidad-1-300x169.webp\" alt=\"\" width=\"700\" height=\"393\" srcset=\"https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2025\/03\/cinco-estrategias-cripto-portafolio-volatilidad-1-300x169.webp 300w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2025\/03\/cinco-estrategias-cripto-portafolio-volatilidad-1-1024x575.webp 1024w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2025\/03\/cinco-estrategias-cripto-portafolio-volatilidad-1-768x431.webp 768w, https:\/\/www.bitnovo.com\/blog\/wp-content\/uploads\/2025\/03\/cinco-estrategias-cripto-portafolio-volatilidad-1.webp 1504w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/p>\n<p>In practice, this means adopting basic principles of prudence:<\/p>\n<ul>\n<li><strong>Use only money you can afford to lose<\/strong>: It is the fundamental pillar to eliminate financial pressure and avoid desperate decisions if capital is reduced to zero.<br \/>\n\u2022 <strong>Avoid impulsive decisions in the face of sharp movements<\/strong>: Responding without planning during extreme ups and downs or liquidity events such as a <a href=\"https:\/\/www.bitnovo.com\/blog\/en\/what-is-a-flash-crash-and-how-does-it-work\">flash crash<\/a> usually leads to hasty executions out of fear of missing out or losing more.<br \/>\n\u2022 <strong>Evaluate the risks of exposure<\/strong>: Operating in highly fluctuating markets requires <a href=\"https:\/\/www.bitnovo.com\/blog\/en\/psychology-in-trading-how-does-it-affect-us\">understanding<\/a> one&#8217;s own risk limits without resorting to mechanisms that amplify losses, such as debt or leverage.<\/li>\n<\/ul>\n<h2><span class=\"ez-toc-section\" id=\"frequently_asked_questions_about_volatility\"><\/span><strong>Frequently asked questions about volatility<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<ul>\n<li><strong>What crypto is the most volatile?<\/strong> Memecoins and low-capitalization tokens, since small orders move their prices drastically.<br \/>\n\u2022 <strong>Is volatility good or bad?<\/strong> It is neutral. It is a risk of rapid loss, but also a source of opportunities for those who manage risk.<br \/>\n\u2022 <strong>Are stablecoins volatile?<\/strong> No, they are designed to be worth 1:1 with a currency, although they can lose their parity if their reserves fail.<\/li>\n<\/ul>\n<p>In light of all of the above, understanding volatility is essential to operate in an informed manner in the crypto environment. Beyond daily fluctuations, its proper analysis and the rigorous application of risk management tools allow reducing exposure to sharp and unforeseen movements. Ultimately, the combination of methodological discipline and operational control is what distinguishes reasoned participation from improvised decision-making.<\/p>\n","protected":false},"excerpt":{"rendered":"<p><span class=\"span-reading-time rt-reading-time\" style=\"display: block;\"><span class=\"rt-label rt-prefix\">Tiempo de lectura:<\/span> <span class=\"rt-time\"> 6<\/span> <span class=\"rt-label rt-postfix\">minutos<\/span><\/span>What volatility means, why cryptocurrencies rise and fall more than other assets and what risks it implies for you.<\/p>\n","protected":false},"author":43,"featured_media":33973,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[165],"tags":[],"class_list":["post-33978","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cryptocurrencies"],"_links":{"self":[{"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/posts\/33978","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/users\/43"}],"replies":[{"embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/comments?post=33978"}],"version-history":[{"count":3,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/posts\/33978\/revisions"}],"predecessor-version":[{"id":34040,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/posts\/33978\/revisions\/34040"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/media\/33973"}],"wp:attachment":[{"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/media?parent=33978"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/categories?post=33978"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.bitnovo.com\/blog\/wp-json\/wp\/v2\/tags?post=33978"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}