Replying to Avatar BoomTown

I think market manipulations impacted the volatility this last cycle. “Bitcoin is less volatile” isn’t how bitcoiners should position bitcoin…we should look at bitcoin’s Sharpe Ratio (volatility-adjusted returns) over a 4-year (more accurately a 210k block) epoch.

Willy Woo had a good chart on this but it hasn’t been auto updating for awhile now.

https://charts.woobull.com/bitcoin-risk-adjusted-return/

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Reid Walley 1y ago

Bitcoin’s price volatility is a good thing: Marketplace price discovery in action 💪

Weak hands vs strong hands.

Volatility smooths with adoption.

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Riggs 1y ago

Volatility can still smooth out as price starts to steepen upwards. Decreasing volatility doesn’t always mean sideways price action. That rainbow chart will fracture north along with the power law time model.