#MarketTurbulence

The volatility of the cryptocurrency market is due to a mix of economic, technological, and psychological factors.

One of the main reasons is market sentiment, where fear, uncertainty, and noise - often amplified by social media - trigger rapid buying or selling. Regulatory changes also play a key role; government or agency announcements regarding bans, taxes, or compliance rules can immediately affect prices. Macroeconomic factors, such as changes in interest rates, inflation data, or geopolitical events, impact investors' appetite for risk, leading to volatility.