Bitcoin Volatility Drops to 2.73%

BlockBeats News, May 4th, according to Coinglass data, Bitcoin's volatility has dropped to 2.73%, following a downward trend for a consecutive week.

High Bitcoin volatility is often associated with speculative trading and retail FOMO sentiment. When volatility decreases, it may indicate a reduction in short-term speculators, the market entering a consolidation phase, or a "cooling-off period." Furthermore, Bitcoin price volatility is often linked to macroeconomic events such as inflation expectations, interest rate changes, or geopolitical risks. When these external factors stabilize, Bitcoin's volatility may decrease accordingly.