Does number of traders affect volatility?
Does number of traders affect volatility?
The number of traders is increasing more than before as more people are generally becoming more interested in ways to become more financially independent and as thus in search of skills like trading.
Does the number of traders directly affect the volatility of the market? If it does, can we assume that trading was easier before with less traders (less volatility) than now when there are more traders, and the market more volatile?
People trade bitcoin than shit coins but why bitcoin is less volatile than shit coins? More people trade gold but gold is less volatile than bitcoin? More traders does not mean but the marketcap is what that is very important. The lower the marketcap of a coin, the higher the volatility. Not about the higher the number of traders.