Bitcoin is much less volatile than it used to be.
The change is clear: it started after the COVID crash.
Since then, we have seen fewer periods of extreme volatility. Gone are the days of wild price swings.
The data shows a tighter distribution now. This is likely due to Bitcoin’s stronger relationship with traditional financial markets.
This doesn’t mean Bitcoin has gone completely tame. It’s still much more volatile than gold, for example.
But the key point is that even with this volatility, Bitcoin’s risk-adjusted returns are outperforming most other assets.
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