Volatility

Volatility is a statistical measure of fluctuations in the price of a given asset or broad market index over time. Volatility is typically measured as a standard deviation of returns and is a core component of option pricing models. Price volatility is an essential concept for NFT investors and crypto traders since the entire asset class of cryptocurrency is very volatile. The volatility of NFT prices is one of the main draws for NFT investors and speculators and has created an entirely new type of affluent NFT artists and NFT investors.