Why is Bitcoin so Volatile?

Bitcoin’s volatility is about 7x higher than the S&P500’s. Bitcoin is open for trading 24/7, and people are paying for it with borrowed money. Some exchanges even allow their uses to take up to 100-to-1 leverage. Bitcoin has always been volatile, but only relative to the dollar. Bitcoin’s volatility is the price you pay for the extraordinary performance you get for. It’s a necessary evil, and it’s a feature of Bitcoin volatility, not a bug.