Volatility of the cryptomarket

      Volatility Of The Cryptomarket

The cryptomarket with it's wide adoption during the covid period has been very advantageous to the populace in the aspect of ease of transfer of funds, storage of value and so on, and with such advantages comes disadvantages the major of which is the volatility of cryptocurrencies traded on the cryptomarket.

Cryptocurrencies are digital assets rather than currencies with which their perceived value and real time supply and demand dictate their prices, sudden drops in value as a result of volatility may create such panic and anxiety with people selling off their assets resulting in investors losing out greatly as can be seen in the recent price fluctuation in the market resulting in the liquidation of more than a billion trading positions.

Nevertheless volatility isn't all that bad as many an investor strives on it to make huge profit both in the short term and long term, in order for one to be able to cope with volatility in the market it is important for one to understand and accept the market volatility as a starting point which would prepare you for whatever may come next and also practicing the strategy of holding on to your cryptocurrencies for a long time before you sell them.