Question #189 ·
How does growing corporate adoption impact Bitcoin’s market stability?
- Increased corporate adoption tends have no effect on market stability.
- Increased corporate adoption tends to increase volatility and hinder stability.
- Increased corporate adoption tends to reduce volatility and improve stability. Right answer
Why is this the correct answer?
This is correct because when companies like MicroStrategy hold Bitcoin or ETFs see net inflows, it adds steady demand and liquidity, smoothing out price swings. Beginners learn that wider adoption brings more mature capital, which often calms volatile markets.