Volatility Is A Natural Part Of The Market

What something is worth comes down to what people are willing to pay for it. Whether it’s gold, Pokémon cards, or soda, the amount depends on where and when you buy. 

Price swings are normal in investing. Markets move as people buy and sell or there are changes in the economy, and that’s the same for many cryptocurrencies. 

The ups and downs are called volatility. When prices don’t move too much, that’s low volatility. When prices change quickly, volatility is high.  

Because crypto can also be used for investing and everyday purchases, remember that price swings can affect how much crypto you’ll end up spending when you use it to pay for something.