Bitcoin’s volatility is a wild ride, and several factors contribute to its rollercoaster nature. Major news events, like Elon Musk tweeting about Dogecoin or a significant regulatory announcement, can trigger massive price swings. Economic uncertainty, inflation fears, and shifts in the overall market sentiment (bullish or bearish) all play a huge role. Think of it like this: if the stock market tanks, Bitcoin often follows suit, though sometimes it acts independently.
Then there are network-specific factors. Hash rate fluctuations, indicating the computational power securing the Bitcoin network, can influence price. A drop in hash rate could signal vulnerability and scare off investors, leading to price drops. Conversely, a surge in hash rate can be bullish. Furthermore, Bitcoin’s limited supply (only 21 million coins) is a fundamental driver of price. As adoption grows and demand increases, the limited supply pushes prices higher, creating volatility as the market adjusts to this scarcity.
Don’t forget the influence of whales – large investors who can significantly move the market with their trades. Their buying and selling activity, often unpredictable, can create dramatic price spikes or dips. Finally, the regulatory landscape is constantly evolving. Changes in regulations in major jurisdictions can drastically impact Bitcoin’s price, sometimes triggering dramatic price corrections or surges depending on the nature of the changes.
Which factors drive Bitcoin volatility macroeconomic technical or both?
Bitcoin’s volatility is a complex interplay of macroeconomic, technical, and sentiment-driven factors. While purely technical analysis (e.g., chart patterns, order book dynamics) can offer short-term predictive power, it’s insufficient to explain the broader swings.
Macroeconomic factors play a significant role. Correlation with traditional markets, particularly the S&P 500, highlights Bitcoin’s increasing integration into the broader financial ecosystem. Global economic uncertainty, inflation fears, and monetary policy decisions (e.g., interest rate hikes) all influence investor risk appetite, directly impacting Bitcoin’s price. Furthermore, regulatory developments and geopolitical events exert considerable influence. The total circulating supply, while a fundamental aspect, is less directly correlated to short-term volatility than market sentiment.
Sentiment is a powerful driver. Metrics like Google Trends (search volume for “Bitcoin”) and social media sentiment analysis provide insights into investor psychology. High levels of FOMO (Fear Of Missing Out) or FUD (Fear, Uncertainty, and Doubt) can amplify price swings regardless of underlying fundamentals. Consumer confidence indices also act as leading indicators, reflecting broader economic optimism or pessimism that spills over into the crypto market.
Technical factors, while often overemphasized, contribute to short-term fluctuations. Order book imbalances, large buy/sell orders, and the impact of liquidations can cause sharp, albeit often short-lived, price movements. However, these are rarely the primary drivers of sustained volatility trends. On-chain metrics like network hash rate and transaction volume offer valuable insights but don’t directly translate to predictable price action.
Therefore, a holistic perspective recognizing the interconnectedness of macroeconomic conditions, investor sentiment, and technical indicators provides the most accurate explanation for Bitcoin’s price volatility. The relative importance of these factors shifts over time, necessitating a dynamic and adaptive analytical approach.
What is the most consistently volatile crypto?
Finding the “most volatile” cryptocurrency is tricky because volatility changes constantly. However, some consistently show high volatility. This means their prices swing wildly up and down frequently.
Based on recent data, some of the most volatile cryptos include:
- 1MLF: This token has shown extremely high volatility, meaning significant price swings. Be aware of the considerable risk involved.
- SELO: Another token known for its unpredictable price movements. Investing requires a high risk tolerance.
- DDOODI: Similar to the others, this token experiences substantial price fluctuations. Only invest what you can afford to lose.
- STOG: This token also demonstrates a high degree of price volatility.
Important Note: Volatility is often linked to market capitalization. Smaller market cap tokens tend to be much more volatile than larger, more established ones like Bitcoin or Ethereum. This is because fewer people own them, making them more susceptible to price manipulation and larger percentage changes. Before investing in any volatile cryptocurrency, understand the risks involved and only invest what you can comfortably lose.
What does this mean for you? High volatility presents both risk and opportunity. While you might see huge potential gains, you’re also at significant risk of equally substantial losses. Consider diversification, only investing a small amount of your portfolio in high-volatility tokens, and having a long-term investment horizon (if you choose to invest).
Why crypto has high volatility?
Crypto’s wild swings? It’s a perfect storm of factors. Liquidity, or the lack thereof, is king. Small market caps mean even modest trading volume can drastically shift prices. Think of it like a tiny boat in a big ocean – a small wave can send it rocking wildly. Then there’s regulation, or the lack thereof. Uncertainty around government oversight creates immense volatility as investors react to potential policy changes, both positive and negative. Finally, and perhaps most importantly, crypto is profoundly sentiment-driven. Fear and greed reign supreme. News cycles, social media hype, and even celebrity endorsements can send prices soaring or plummeting in a heartbeat. This emotional rollercoaster is amplified by the fact that crypto is still a relatively new and untested asset class, lacking the established market stability of traditional assets.
Consider the Bitcoin halving events – predictable supply shocks that significantly impact price due to the reduced rate of new coin creation. That’s a clear example of how fundamental supply-side dynamics play a huge role in volatility. Furthermore, the decentralized nature of many cryptocurrencies, while lauded for its benefits, also contributes to volatility because there’s no central authority to manage supply or mitigate extreme price swings.
Ultimately, understanding these interconnected factors is crucial for navigating the crypto market. It’s not about timing the market perfectly, but about managing risk and understanding that high volatility is inherent to the asset class.
What time is Bitcoin most volatile?
Bitcoin’s price swings are far from random. A significant factor influencing its volatility is the overlap with traditional financial markets. Peak volatility generally aligns with the operating hours of major stock exchanges in the US and Europe. This is because many investors and traders participate in both markets, leading to correlated price movements. Think of it like this: a major event affecting the Dow Jones could easily ripple over into the crypto market during those overlapping hours.
The increased trading volume during these periods amplifies the effect. More buyers and sellers mean quicker and more pronounced price changes. Weekdays consistently see substantially higher volatility than weekends, further emphasizing the link to traditional market activity. This reduced volatility on weekends isn’t because Bitcoin is “resting”; it’s simply a reflection of lower trading volumes, resulting in less dramatic price shifts.
Understanding this correlation is crucial for traders. Knowing when volatility is likely to be highest allows for better risk management and informed decision-making. For example, traders might choose to reduce their exposure or employ stricter stop-loss orders during these peak volatility periods to protect against sudden price drops. Conversely, those seeking high-risk, high-reward opportunities might strategically focus their trading activities during these times.
It’s important to note that while the US and European market hours are a major driver, other factors like news events, regulatory announcements, and technological developments also significantly impact Bitcoin’s price volatility, sometimes overriding the influence of traditional market hours.
In short: If you want to ride the Bitcoin rollercoaster, keep an eye on the clock. The overlap with US and European trading hours is where the ride gets the wildest.
What causes BTC to rise and fall?
Bitcoin’s price volatility is a complex interplay of several factors. The most fundamental is supply and demand. Bitcoin’s fixed supply of 21 million coins creates inherent scarcity, a key driver of its value. Increased demand, fueled by factors like institutional adoption, growing user base, or positive media coverage, pushes the price upwards. Conversely, reduced demand, perhaps due to negative news, regulatory uncertainty, or market corrections, leads to price drops.
Media and news coverage significantly impact investor sentiment. Positive news stories, technological advancements, or successful integrations can generate excitement and buying pressure. Conversely, negative news, regulatory crackdowns, or security breaches can trigger sell-offs and price declines.
Regulatory changes also play a crucial role. Favorable regulations in major markets can boost investor confidence and increase demand. Conversely, stricter regulations or outright bans can suppress the price. The regulatory landscape is constantly evolving, making it a significant source of price fluctuation.
While the energy cost of Bitcoin mining (and therefore its potential impact on price) is frequently discussed, obtaining reliable, comprehensive data on this remains challenging. Many analyses rely on estimations and assumptions, making definitive conclusions difficult. Nevertheless, the increasing difficulty and energy consumption required for mining could indirectly influence the price through factors like network security and hash rate stability.
Ultimately, Bitcoin’s price is a reflection of the collective belief and expectations of its users and investors. It’s a dynamic market influenced by a variety of interwoven factors, making accurate price prediction extremely difficult.
What is the most volatile time in Bitcoin?
The most volatile period for Bitcoin, based on Skew’s on-chain data, centers around 3-4 PM UTC. This aligns with the overlap of major Asian and European trading sessions, creating a confluence of buy and sell orders. This concentrated trading volume naturally amplifies price swings. Expect wider bid-ask spreads during this time, making precise entry and exit points more challenging. Liquidity, while generally high, can thin unexpectedly leading to slippage. Scalpers often thrive in this heightened volatility, capitalizing on short-term price fluctuations. However, the increased risk presents opportunities for well-prepared traders employing robust risk management strategies.
Consider these factors: increased market depth doesn’t always equate to less volatility; news events impacting Bitcoin often coincide with this period; and algorithms and high-frequency trading activity significantly contribute to the volatility.
What is the most volatile crypto for day trading?
Determining the *most* volatile crypto is a fool’s errand; volatility’s a fickle mistress. However, ROG, SQRL, BMT, and especially OXY have recently demonstrated exceptionally high volatility, making them attractive – and extremely risky – for day trading. OXY’s -90.23% 24h change is a stark reminder of the potential for catastrophic losses. Remember, high volatility means both significant profit potential and equally significant loss potential.
Important Note: These figures represent a snapshot in time. Volatility is constantly shifting. Due diligence, including thorough technical and fundamental analysis, is crucial before engaging in day trading any crypto asset. Never invest more than you can afford to lose. Past performance is not indicative of future results. Consider these tokens only after extensive research and risk assessment. Diversification is your friend.
What factors influence Bitcoin price the most?
Bitcoin’s price is a complex interplay of several key factors. Understanding these influences is crucial for navigating the volatile cryptocurrency market.
Supply and Demand: The most fundamental principle. Bitcoin’s limited supply of 21 million coins is a core tenet of its design. This scarcity, combined with fluctuating demand, directly impacts price. Increased demand with a fixed supply pushes the price upward, while decreased demand leads to price drops.
Market Sentiment: Investor confidence and overall market sentiment play a significant role. Positive news, regulatory developments (both positive and negative), and media coverage can dramatically shift investor sentiment, leading to price swings. Fear, uncertainty, and doubt (FUD) can trigger sell-offs, while positive news and hype can fuel price rallies.
Competition: The rise of alternative cryptocurrencies (altcoins) presents a challenge. New and innovative projects can attract investors away from Bitcoin, impacting its market share and price. The performance of other major cryptocurrencies often correlates with Bitcoin’s price movement, but not always directly.
Regulation and Legal Frameworks: Government regulations and legal frameworks surrounding Bitcoin significantly impact its adoption and price. Favorable regulations can boost investor confidence and increase demand, while restrictive measures can dampen enthusiasm and drive prices down.
Technological Developments: Upgrades to the Bitcoin network, such as the implementation of SegWit or the Lightning Network, can positively affect its efficiency and scalability, potentially influencing its price. Conversely, significant security breaches or network issues can negatively impact investor confidence.
Macroeconomic Factors: Broader economic conditions, such as inflation, interest rates, and geopolitical events, can also indirectly affect Bitcoin’s price. Investors may turn to Bitcoin as a hedge against inflation or during times of economic uncertainty, increasing demand.
Availability and Exchange Liquidity: The ease with which Bitcoin can be bought and sold on various exchanges impacts its price. Limited liquidity on exchanges can lead to wider price spreads and increased volatility. High liquidity generally signifies a more stable and efficient market.
In summary:
- Limited Supply: A fixed supply creates inherent scarcity.
- Variable Demand: Driven by various factors, creating volatility.
- Competitive Landscape: Altcoins compete for investor attention.
- Regulatory Environment: Governmental actions shape market confidence.
- Technological Advancements: Network upgrades influence scalability and efficiency.
- Macroeconomic Influences: Global economic factors play a role.
- Market Liquidity: Ease of buying and selling affects price stability.
What drives volatility?
Crypto volatility is wild! It’s driven by a mix of things, much like traditional markets. Economic news, like inflation reports or interest rate hikes, massively impacts crypto prices because it affects investor confidence and the overall economy. Good or bad earnings reports from crypto companies can also send prices swinging. Geopolitical events, like wars or political instability, create uncertainty and often lead to big price movements because they affect global markets and investor risk appetite. But a huge part of crypto’s volatility is investor sentiment – fear and greed are massive players. For example, a big tweet from Elon Musk can send Bitcoin prices soaring or plummeting. Unlike traditional markets, crypto is also susceptible to things like regulatory changes, hacking incidents, and even the whims of social media trends, all leading to unpredictable price swings. It’s a much less mature market, so these factors have a more dramatic effect than in established markets.
What are the triggers of market volatility?
Market volatility in crypto, like in traditional markets, is driven by unpredictable events. Geopolitical instability – wars, elections, or policy changes – can drastically impact prices. Think of how sanctions or regulations affecting a major crypto player could create huge swings.
External shocks are also huge players. A massive power outage affecting a major mining region, or a new virus impacting global supply chains, can trigger significant price movements. The interconnected nature of crypto and the global economy means these events can have ripple effects.
Then there’s the “fear and greed” factor. Rumours, unexpected news (like a major exchange hack or a celebrity endorsement), or even a sudden change in the overall market sentiment can cause rapid price spikes or crashes. For example, a single negative tweet from a prominent figure can trigger a sell-off. This is amplified in crypto because it’s a relatively young and highly speculative market.
Furthermore, regulatory uncertainty is a constant source of volatility. New laws or differing interpretations of existing laws across jurisdictions can create significant uncertainty and drive price swings. This is a key difference from traditional markets, where regulation is often more established.
Finally, the inherent characteristics of crypto itself – decentralized nature, 24/7 trading, high leverage opportunities – contribute to the volatility. These factors increase the speed and magnitude of price fluctuations compared to more traditional asset classes.
What influences volatility?
Crypto volatility is wild, right? It’s influenced by a bunch of things. Economic data, like inflation reports or interest rate changes, massively impact crypto prices because they affect the overall market sentiment and investor appetite for risk.
Then there are earnings reports from big companies. If a major tech firm does poorly, it can trigger a sell-off across the board, including crypto. It’s all connected!
Geopolitical events, like wars or political instability, create uncertainty, making investors move their money to safer assets, which often means selling crypto. This can cause huge swings.
And finally, investor sentiment – the overall feeling of the market – is HUGE. If everyone’s optimistic, prices go up. If fear takes over, we see crashes. Things like tweets from influential figures or news articles can dramatically shift this sentiment and cause massive volatility in a very short time.
Think of it like this: crypto is still relatively new and less regulated, making it more sensitive to these factors than traditional markets. This high volatility is both a risk and an opportunity – potentially huge profits, but also potentially massive losses. So, do your research!
What if you invested $1000 in Bitcoin 10 years ago?
Investing $1,000 in Bitcoin ten years ago (in 2015) would have yielded a substantial return, growing to approximately $368,194 today. This highlights Bitcoin’s incredible price appreciation over the past decade. However, the returns could have been even more astronomical.
Fifteen years ago (in 2010), a $1,000 investment in Bitcoin would be worth roughly $88 billion today. This demonstrates the exponential growth potential, though it’s crucial to remember past performance doesn’t guarantee future results.
To illustrate the early days, Bitcoin’s price was incredibly low in late 2009. You could buy over 1,000 Bitcoins for just one dollar! This shows how early adoption could lead to monumental gains, but also the significant risk involved with such a volatile asset.
It’s important to understand that Bitcoin is a highly speculative and volatile investment. Its price can fluctuate dramatically in short periods. The potential for high returns is matched by a high risk of significant losses. Any investment decisions should be based on thorough research and understanding of your own risk tolerance.
What makes Bitcoin fluctuate?
Bitcoin’s price volatility stems from a complex interplay of factors, far exceeding simple supply and demand. While these fundamentals certainly play a role, the narrative is significantly richer.
Supply and Demand: While the fixed supply of 21 million Bitcoin creates a scarcity narrative, the actual *liquid* supply – coins actively traded – is far less predictable, influenced by exchange reserves, institutional holdings, and long-term holders’ behavior (HODLers). This dynamic supply significantly impacts price discovery.
Investor Sentiment & User Adoption: Market sentiment, driven by news cycles, technological developments (like the Lightning Network’s impact on transaction fees), and macro-economic trends (inflation fears, for instance), profoundly affects demand. Widespread adoption fuels growth, while negative press or regulatory uncertainty creates sell-offs. This is amplified by the leverage employed by many traders.
Regulatory Landscape: Government regulations, varying wildly across jurisdictions, introduce significant uncertainty. Clear, consistent regulations can instill confidence and attract institutional investment, while ambiguous or restrictive policies can trigger sharp price drops. The ongoing regulatory debate in various countries is a major ongoing influence.
Media Hype & Narratives: Positive media coverage and prominent endorsements can create FOMO (fear of missing out), driving prices up. Conversely, negative headlines or scandals within the crypto space can trigger significant sell-offs, sometimes disproportionate to the actual impact of the event. The role of social media influencers and online communities is particularly powerful.
Macroeconomic Factors: Bitcoin’s behavior isn’t isolated from global events. Inflationary pressures, interest rate hikes, and geopolitical instability all influence investor appetite for risk assets like Bitcoin, often correlating negatively with traditional markets in certain periods.
- Whale activity: Large holders (“whales”) can significantly impact prices with their trading decisions.
- Mining Difficulty: Changes in Bitcoin mining difficulty affect the rate of new Bitcoin entering circulation, influencing supply dynamics.
- Hashrate: The total computational power securing the Bitcoin network is a key indicator of its resilience and security, influencing investor confidence.
Understanding these interconnected factors offers a clearer picture of Bitcoin’s volatile nature, highlighting that it’s not just about simple supply and demand, but a much more intricate and dynamic system.
Will bitcoin ever stop being volatile?
Bitcoin’s volatility is a hot topic, and while it’s been a wild ride so far, it’s definitely not a permanent condition. As more people and institutions adopt Bitcoin, and as liquidity in the market increases, we’ll see price swings become less dramatic. Think of it like gold – in its early days, gold’s price fluctuated wildly, but as global acceptance grew, its value stabilized. Bitcoin’s journey is similar; it’s still relatively young. The ongoing development of the Lightning Network, for instance, is a key factor in boosting liquidity and transaction speeds, thus potentially reducing volatility.
Key factors driving reduced volatility include: increased institutional investment (reducing the impact of individual whale activity), broader regulatory clarity (reducing uncertainty and market manipulation), and the growing integration of Bitcoin into everyday financial systems. While predicting the future is impossible, the trend strongly suggests a decrease in volatility as Bitcoin matures and becomes a more established asset.
It’s important to note, however, that even with decreased volatility, Bitcoin will likely remain more volatile than traditional assets like government bonds. The inherent characteristics of a decentralized, borderless digital currency make complete price stabilization unlikely. But the ride will definitely get smoother.
What causes fluctuation in Bitcoin price?
Bitcoin’s price volatility is a complex interplay of several key factors. Understanding these factors is crucial for navigating the crypto market.
Supply and Demand: This is the most fundamental driver. Bitcoin’s fixed supply of 21 million coins creates scarcity, influencing price. Increased demand, fueled by investor interest or adoption by businesses, pushes the price up. Conversely, decreased demand leads to price drops.
Investor and User Sentiment: Market psychology plays a huge role. Fear, uncertainty, and doubt (FUD) can trigger sell-offs, while positive news and anticipation can drive prices higher. Social media sentiment analysis often provides insights into this dynamic.
- FOMO (Fear Of Missing Out): This often leads to rapid price increases as investors rush to buy.
- Market Manipulation: While difficult to prove, large-scale coordinated buying or selling can significantly impact price.
Government Regulations: Regulatory actions from various countries significantly influence investor confidence. Positive regulations fostering adoption can boost prices, while restrictive measures can cause sharp declines. The regulatory landscape is constantly evolving, adding to the uncertainty.
- Legal Status: Whether Bitcoin is considered a currency, security, or commodity affects its accessibility and investment appeal.
- Taxation: How Bitcoin transactions are taxed influences investor behaviour.
Media Hype: Positive or negative media coverage can significantly sway public opinion and thus, price. Major news events, celebrity endorsements, or negative reports about security breaches or scams all contribute to price fluctuations.
Technological Developments: Upgrades to the Bitcoin network, such as the implementation of the Lightning Network, can affect price due to their impact on transaction speed and scalability. Conversely, successful attacks or major vulnerabilities discovered can significantly harm prices.
What drives up Bitcoin price?
Bitcoin’s price, like any asset, is fundamentally driven by the interplay of supply and demand. Increased demand pushes the price higher, while decreased demand leads to price drops. This is a core principle of economics, and Bitcoin is no exception.
Factors influencing Bitcoin demand:
- Speculation and Investment: Many investors view Bitcoin as a hedge against inflation or a potential store of value, driving demand based on price predictions and market sentiment.
- Adoption by Businesses and Institutions: As more businesses and financial institutions integrate Bitcoin into their operations, the demand increases, reflecting a growing acceptance of the cryptocurrency.
- Technological Advancements: Improvements in Bitcoin’s underlying technology, such as the Lightning Network for faster transactions, can boost confidence and thus demand.
- Regulatory Developments: Clearer and more favorable regulatory frameworks in different jurisdictions can positively impact investor confidence and increase institutional participation.
- Macroeconomic Factors: Global economic uncertainty, inflation, and geopolitical events can influence investors’ appetite for risk and, consequently, the demand for Bitcoin as a potential safe haven.
Supply-side considerations:
Bitcoin’s fixed supply of 21 million coins plays a crucial role. As more coins are mined and enter circulation, the rate of increase slows down over time, potentially leading to scarcity and price appreciation in the long term. This inherent scarcity is often cited as a key driver of Bitcoin’s value proposition.
Historical Influences:
Significant events have historically impacted Bitcoin’s price. For instance, major news cycles concerning regulations, large-scale adoption by companies, or periods of global financial instability have often been correlated with sharp price movements. Furthermore, cultural phenomena and media coverage can also influence public perception and thereby impact demand.
- 2017 Bull Run: Fueled by increased media attention and institutional investment.
- 2020-2021 Bull Run: Driven by institutional adoption and macroeconomic factors such as quantitative easing.
- Subsequent Corrections: Often triggered by market corrections, regulatory uncertainty, or negative news cycles.
Understanding these factors is crucial for navigating the volatile Bitcoin market. However, remember that predicting price movements with certainty remains extremely challenging.
What is the best indicator of volatility for crypto?
There’s no single “best” volatility indicator for crypto; effectiveness depends on your trading style and timeframe. However, several provide valuable insights.
Moving Averages (MAs): Simple and exponential MAs highlight trends. Volatility is suggested by the distance between different MA periods (e.g., 50-day and 200-day). Wider spreads often indicate higher volatility.
Relative Strength Index (RSI): Primarily a momentum indicator, RSI values above 70 suggest overbought conditions (potential for price reversal and increased volatility), while below 30 implies oversold (again, potential for volatility as price may bounce). Look for divergence between price and RSI for stronger signals.
Bollinger Bands: These show price volatility by measuring standard deviation from a moving average. Wider bands suggest higher volatility; narrow bands, lower. Breakouts from the bands can signal significant price movements.
On-Balance-Volume (OBV): This indicator correlates price with volume. Divergence between OBV and price action can foreshadow volatility shifts. Rising OBV with falling price suggests accumulating bearish pressure, potentially leading to a volatile downside correction.
Ichimoku Cloud: This complex indicator provides multiple signals including support/resistance, momentum, and trend. The cloud’s width is relevant to volatility – wider clouds usually imply greater price swings.
Moving Average Convergence Divergence (MACD): This momentum indicator identifies trend changes and potential shifts in volatility. Histograms and crossover signals can indicate increasing or decreasing volatility.
Fibonacci Retracement: While not directly a volatility indicator, Fibonacci levels can predict potential support and resistance areas. Breakouts from these levels often result in periods of increased volatility.
Stochastic Oscillator: This momentum indicator measures the speed and strength of price changes, identifying overbought/oversold conditions similar to RSI. Look for divergences and extreme readings to anticipate volatility spikes.
Important Note: No indicator is perfect. Always combine multiple indicators and consider other market factors (news, regulations, etc.) for a comprehensive analysis before making trading decisions. Backtesting strategies is crucial.
What time of day is crypto most volatile?
Crypto markets run 24/7, but the most action happens between 8 am and 4 pm local time. That’s when most people are at work or awake, making trades. Think of it like the stock market – more buyers and sellers mean faster, more frequent price changes.
Outside those hours, trading slows down. This can make it harder to buy or sell quickly because there are fewer people actively participating. You might have to wait longer to find someone willing to buy or sell at your desired price, which can lead to slippage (buying or selling at a less favorable price than expected).
This doesn’t mean you can’t trade outside those hours – you absolutely can – but it’s important to be aware that price swings might be less dramatic, and it could take longer to complete your trades. The increased volume during the day also often correlates with more news and information being released impacting the market.
Volatility itself isn’t limited to specific times, but the *likelihood* of seeing significant price changes is often higher when trading volume is high. Major news events, regardless of time, can cause significant price fluctuations anytime.
