I think the reason the market is so volatile is:

The cryptocurrency market is essentially in a bear market, with only Bitcoin still in a bull market, and Bitcoin no longer belongs to the crypto market; it belongs to the U.S. stock market, specifically the NASDAQ, which is still in a bull market.

So the entire crypto market is following the NASDAQ component stock, Bitcoin.

When Bitcoin rises, everyone rebounds a bit; when Bitcoin falls, everything else drops significantly.

When the U.S. stock market goes into a bear phase, the crypto market will also decline and will no longer be volatile.

The U.S. stock market is not at a low point, and any further rise will be difficult; it could drop at any time.