Bitcoin has reached a more stable position than Amazon and Meta stocks due to its low volatility.
Currently, assets like Apple stock and gold are considered more stable investments than Bitcoin. By contrast, Bitcoin’s price is less volatile than shares in tech giants Amazon and Meta.
Bitcoin Stands Out With Low Volatility These Rows
Bitcoin is a risky asset because it is more volatile than stocks, which are generally known for their more stable price movements. But the world’s largest cryptocurrency currently has less volatility than shares in tech giants Amazon and Meta.
Bitcoin’s volatility fell to unusually low levels during the “summer recession”, a period when the summer months are characterized by low trading volume. In fact, this summer is on track to be the calmest summer since 2020.
Analyst Rebecca Stevens states that Bitcoin experienced marked instability in the summer of 2021, after the drop in May.
While Bitcoin’s volatility has not yet dipped low enough to compete with strong assets like gold and Apple shares, at its current level it provides more stability than the 34 percent and 44 percent volatility of Meta and Amazon stocks. The volatility of the Dow Jones Industrial Average is around 13 percent, which indicates that Bitcoin has higher volatility than other assets.
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