Studying different crypto investors, there's is a discovery that most of us don't know what crypto volatility really is, I was opportuned to spend time with new crypto investors and they all know nothing about crypto volatility and the funniest part of it is that some have heard about it but don't really know what it is, how it affect crypto to the world at large.
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Firstly, what is volatility? Volatility is the rate at which the value of an asset has moved up and down. Generally, the higher the volatility of an asset, the more dangerous it's considered to be as an investment, volatility is one of the basic factors that thoroughly examine and reveal the danger of investment, so without taking much of the time let's relate it to crypto volatility as the main issue we're battling with. Crypto volatility is an adoption that can help you know the risk of investing or trading as a professional coach of business planning there's something I do tell my clients before I start mentoring, "never start a business if you haven't known the volatility of the businesses because you will end up piercing yourself with a knife ” so, the same is applicable to crypto, you enbarking in an investment or trade is the damn craziest thing you can do.
How do I limit the the risk of crypto volatility :For less - torrent investors, there's a techniques that can be considered to limit the downside impact of volatility. There are cryptocurrencies that has been solely separated by its low volatility which are the stable coin they all have a pegged price, example of such coin are usdt and Dai, so in conclusion volatility has a great effect on crypto currencies.