The decline in Bitcoin's volatility is pushing risk-seeking traders to look for alternatives.
'Ethereum' is testing the early stages of institutional adoption and has become the favorite for those seeking sharper volatility.
The decline in Bitcoin's volatility is pushing risk-seeking traders to look for alternatives.
'Ethereum' is testing the early stages of institutional adoption and has become the favorite for those seeking sharper volatility.
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Bitcoin's annual volatility has dropped to 38% compared to 200% a decade ago.
Trading volumes of ETFs for 'Ethereum' surpass those of 'Bitcoin.'
Bitcoin logo on a cryptocurrency trading platform in Hong Kong. - Bloomberg
Bitcoin logo on a cryptocurrency trading platform in Hong Kong. - Bloomberg
Source:
Bloomberg
'Bitcoin,' which was once considered the rebellious child in the financial world, is currently showing signs of maturity as its sharp volatility decreases, and speculative traders are looking for a new playground for speculation.
The largest cryptocurrency in the world is starting to behave more like shares of major companies, with an influx of 'Wall Street' investors following a buy-and-hold strategy, and annual volatility has declined to 38%, a figure that would have been hard to believe before, while the ratios were close to 200% over a decade ago.
It is now comparable to companies like 'Starbucks' or 'Goldman Sachs,' according to Bytetree Asset Management.
A greater trend towards volatile 'Ethereum.'
Investors seeking price volatility are instead turning to the competing currency 'Ethereum,' the second largest cryptocurrency. In several trading days this month, the trading volumes of ETFs for 'Ethereum' equaled or surpassed those of 'Bitcoin,' following a frenzy of buying from companies.
