Binance CEO Says Bitcoin Volatility Aligns with Customary Assets
SYDNEY, Oct 26 – Binance CEO Richard teng stated Thursday that recent price swings in Bitcoin are comparable to volatility levels typically observed in conventional asset classes.Teng‘s comments come as Bitcoin experienced a sharp decline this week,briefly falling below $60,000 before partially recovering.
The remarks aim to contextualize Bitcoin’s price fluctuations for investors and regulators, suggesting its behavior is becoming more integrated with broader financial markets. This outlook is meaningful as Bitcoin seeks wider acceptance and as regulatory scrutiny intensifies globally. increased volatility has historically been a barrier to institutional investment in cryptocurrencies, and Teng’s assessment could be interpreted as a signal that the asset is maturing.
Teng highlighted that while Bitcoin’s volatility remains ample, it isn’t anomalous when viewed alongside equities, commodities, or other investment vehicles. He emphasized the importance of a long-term investment horizon for navigating such fluctuations.
“What we’ve seen in the last few days is not unusual,” Teng said during a speech at the Australian Financial Review summit in Sydney.”If you look at Bitcoin’s volatility relative to other asset classes, it’s actually in line with many of them.”
The price of Bitcoin has seen significant gains this year, driven by factors including the launch of spot Bitcoin exchange-traded funds (ETFs) in the United States and anticipation of the upcoming “halving” event, which historically reduces the supply of new Bitcoins. Though, profit-taking and macroeconomic headwinds have contributed to the recent downturn.
