How does cryptocurrency trading 24/7 affect market volatility?

3 answers

• Falak ChudasamaMay 03, 2025 · 4 months ago
  Cryptocurrency trading being available 24/7 has a significant impact on market volatility. With continuous trading, price fluctuations can occur at any time, even during non-traditional trading hours. This can lead to increased volatility as market participants from different time zones react to news and events. Additionally, the absence of trading breaks or closing hours means that market trends can develop and change rapidly, amplifying price movements. Overall, 24/7 trading contributes to a more dynamic and volatile cryptocurrency market.
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• Mills ThraneJun 08, 2024 · a year ago
  The availability of 24/7 cryptocurrency trading definitely affects market volatility. Unlike traditional stock markets that have fixed trading hours, cryptocurrency markets operate around the clock. This means that price movements can happen at any time, including weekends and holidays. The absence of trading breaks allows for continuous buying and selling, which can lead to increased price volatility. Traders can react to news and events immediately, causing rapid price fluctuations. However, it's important to note that market volatility is influenced by various factors, and 24/7 trading is just one of them.
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• Dwayne StephanysJun 21, 2023 · 2 years ago
  As an expert in the cryptocurrency industry, I can confirm that 24/7 trading has a significant impact on market volatility. With the ability to trade cryptocurrencies at any time, day or night, market participants can react to news and events instantly. This can lead to increased price volatility as buying and selling pressure fluctuates throughout the day. However, it's important to note that market volatility is influenced by various factors, including market sentiment, regulatory developments, and technological advancements. While 24/7 trading contributes to market volatility, it is not the sole determinant.
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