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Bitcoin is not just digital gold

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Bitcoin is also a payment network

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Bitcoin will become a currency

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Bitcoin Volatility

A common criticism of Bitcoin today is that it is too volatile to be suitable as a payment tool. This point of view is applicable to the early days of Bitcoin. But when Bitcoin develops to a certain level, the volatility of Bitcoin is not determined by its own characteristics. Rather, it is determined by the statute with which it is transacted. The total amount of bitcoins is fixed, so the value of each bitcoin should be constant, and what is uncertain is the various legal currencies that are traded with it. Additionally, Bitcoin volatility has actually started to decline. Since the first quarter of this year, Bitcoin volatility has shown a downward trend. Bitcoin volatility is expected to drop further as liquidity increases, especially as institutional buying has now begun and with the imminent launch of Bitcoin-based ETFs in the US market.

For a bitcoin investor, how much he knows about the value of bitcoin directly determines his investment and holding strategy for bitcoin. In order to ensure that your investment portfolio obtains the maximum return after long-term risk adjustment, you need to have a correct understanding of the nature of Bitcoin.