Why is crypto so volatile? | SteemPeak

Among all the asset classes, cryptocurrencies are probably the most volatile of the lot.  

Why is it so?  

Perhaps, the one sure reason for the volatility is the psychology of the market participants. Fear, uncertainty and greed are probably the driving forces behind cryptos' volatility. Even if that is so, we cannot cite fear, uncertainty and greed as the cause of volatility. We need to look behind these factors and ask what are the root causes for these fear, uncertainty and greed. We would then be able to identify the true causes of the volatility.  

Maybe there are other reasons too for the volatility besides the psychology of the market participants and its root causes. 

What do you think? Share your thoughts.  

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