Topic: Fixing Volatility - page 2. (Read 506 times)

Bitcoin volatility is caused by the fact that 90% of the coins are in the hands of 10 people.

I think that when a cryptocurrency community grows, then volatility decreases significantly

Bitcoin is a cryptocurrency which is different from fiat currency. Because it is decentralised, it is not regulated or controlled by government as obtainable in fiat currencies. This means buying and selling of bitcoin is free for any one who understands how to use bitcoin. This freedom of usage makes bitcoin highly volatile and quite difficult to have a stable value. It is even difficult to have a range of value.

Volatility is not a BTC problem, it's a modern day business and finance reality. We live in VUCA world (volatile, uncertain, complex and ambiguous). Cryptos are a great representation of this. All the trends and technical analysis can not predict for sure. But neither can you do so in most business fields. Embrace the change and develop your own strategy taking it into account, it won't change. So, I wouldn't like to fix it)

exactly
optional,
no force
open order book $0-50k+

im not saying forcing should be allowed/compulsary im just saying it is possible

EG closed range orderbook only allowing a 5% variant a day where if a price is currently say $4k then buys set orderlines can only be presented down to say 3960(-1%) and sell orderlines can only go up as far as 4160(+4%)
thus also helping the pressure on the buys/sell by favouring a upward movement.

or being fair with a 3900(-2.5%)-4100(+2.5%) orderbook

again im not saying it should be done. just that it could be done

Volatility is a limitation to bitcoin's use for daily payments and purchases. Bitcoin was not meant to be a speculative asset, but create a community of enthusiasts connected by this technology and a peer to peer network.

Merchants can not accept bitcoin payments without processors cause of it's volatility.

We can't fixed it if it is really decentralized. Its value will really changed anytime unless the authorities will regulate it like what is occurring today. Volatility is also good and it makes profit for people who take advantage on its changing price for profit. So fixing its volatility is not a good idea.

Volatility does not need to be fixed, it will be resolved in time as adoption occurs and demand becomes more stable. So therefore to answer your question I would just push for mass adoption and seeing bitcoin used for its utility instead of as an investment.

Volatility is constant in market it can be slight or major and there alot of factors that influences it the price system can only be maintained and not completely eradicating market volatility

trading here can change volatility and become a lure for crypto. currency where we can monitor price changes that show market fluctuations in a certain period.

No one could ever control on bitcoin mate,this tool is decentralized.Votality is based on the adoptors of bitcoin that is why no one could ever fix it because we cannot control who are those people who want to sell and buy bitcoins.

Bitcoin and altcoin prices fluctuates from time to time, so volatility is present in a sense that we dont know if it increases or decrease. I think that to fix volatility we should not panic sell, and besides buy more coins in the market to make the market green again.

We see high volatility even in traditional markets. If something goes wrong in a  market which might be a stock market speculators and manipulators jump into and try to gain easy money like wolves did. Some balance instruments are developed by regulators in order to decrease the effect of these speculators and even though they can be punished what they did. In crypto market, we may adapt these balance instruments which are used in traditional markets. For example, we can set up a assurance system for people who are victims of hackers.

Volatility is an inherent part of every market as the value of products is always changing, and in a decentralized system with no stipulated regulatory body the value is more volatile.
To reduce the volatility, butcoun would have to have a form of regulation and be controlled by a system and hence proposals and options can be initiated to give the community a model of what a bitcoin is worth.

Mass adoption and daily usage could also reduce volatility.

Volatility is indeed something that is a character of the price of crypto currencies including bitcoin, you cannot fix it.
traders make Volatility an attraction for trading crypto currencies and profit from these trades

this is already the "option" you can place orders with $0.01 increments in most exchanges and at least on one of them they use the 8 decimal points like bitcoin has LOL. but that doesn't fix the volatility problem because it is the "option" to open orders like that, in a market you can not force people to set their orders at the price you decide. they can choose to place an order $0.01 above the previous one or $100 above the previous one. not to mention that this doesn't make sense the higher the price goes. for example you can't expect people to place a buy order at $50,000.01 then at $50,000.02

the way to fix it is to find a way to get more people to trust exchanges enough to open orders in first place instead of going elsewhere to trade bitcoin or pull their money out every time they make a trade. so that we can have a more crowded orderbook so one small dump can not crash the price big time.

Volatility cant be fix because tradings and investments are not stable. It depends on what is the exchage rate of real currency to digital currency.

My answer hasn't changed since last month.  You don't "fix" things that shouldn't be controlled.

Also, how many more threads on volatility?  There's a search function, please use it.

volatility is nothing to do with bitcoin

bitcoins code has nothing to do with price/markets.
i think you mean if you ran a fiat money service business that is also a bitcoin custodial service. how would you fix the fiat market

options:
1. dont affix the market to be dollar pegged. instead use something more universal like the cost of living unit. or a minimum wage limit.
after all a bitcoin for americans is only 533 minimum wage hours. but for other countries a bitcoin is 80,000 hours ($0.05c an hour)
so imagine bitcoin was measured as just. say 533 minimum wage hours WORLD WIDE. and increments up and down in minutes and seconds on orderlines. then the world is more fair in regards to sweat equity(labour needed to earn bitcoin)


2. make it so that the orderlines dont increment in 100cent slots. make it so each order line is 1cent difference
eg buys:                                                eg buys:
0.1btc  $4000 =$400.00                         0.1btc  $4000.00 =$400.000
0.1btc  $3999 =$399.90         vs             0.1btc  $3999.99 =$399.999
0.1btc  $3998 =$399.80                         0.1btc  $3999.98 =$399.998

2. if you really want to try influencing the market..
have buys do orderlines of micropenny movements
and sells move in dollar amounts

that way moving the price just a fraction doesnt move it down much. but does move it up alot. thus if orderlines are full there is more support to prvent downward movements. but easier to move price up.
eg buys:                                     sell:
0.1btc  $4000.00 =$400.000       0.1btc  $4000 =$400.00
0.1btc  $3999.99 =$399.999       0.1btc  $4001 =$400.01
0.1btc  $3999.98 =$399.998       0.1btc  $4002 =$400.02


edit
this guy below. is funny guy
he doesnt want things to change as he is deep in the pockets of certain group who want control. he defends centralists. and doesnt want people thinking outside the box..

funny part people should be allowed to open their own exchange. and decide to not be reliant on the dollar

If any of you had control of bitcoin, how would you fix the volatility problem?