The tendency of an asset's price to fluctuate significantly over a short period, indicating uncertainty or rapid shifts in market sentiment.
Price volatility describes the degree of variation in an asset's price over time. High volatility signifies that an asset's price can change dramatically and rapidly, often within short intervals. This fluctuation is typically driven by market sentiment, news events, economic indicators, or changes in supply and demand dynamics, making the asset's future price difficult to predict with certainty.