How does the inclusion of NASDAQ SSR list affect the volatility of cryptocurrencies?
Hod PotatoNov 28, 2021 · 3 years ago3 answers
What is the impact of including cryptocurrencies in the NASDAQ SSR list on their volatility?
3 answers
- Nov 28, 2021 · 3 years agoIncluding cryptocurrencies in the NASDAQ SSR list can have a significant impact on their volatility. The SSR (Short Sale Rule) list is a regulatory tool used by NASDAQ to restrict short selling in certain stocks. When a cryptocurrency is added to this list, it means that short selling of that cryptocurrency is restricted. This restriction can reduce the selling pressure on the cryptocurrency, leading to a potential decrease in volatility. However, it's important to note that the impact may vary depending on the specific cryptocurrency and market conditions.
- Nov 28, 2021 · 3 years agoThe inclusion of cryptocurrencies in the NASDAQ SSR list can potentially decrease their volatility. The SSR list is designed to prevent excessive downward price pressure on stocks by restricting short selling. When a cryptocurrency is added to this list, it means that short selling of that cryptocurrency is limited. This limitation can reduce the speculative selling and price manipulation, which in turn can lead to a decrease in volatility. However, it's important to consider other factors that can influence the volatility of cryptocurrencies, such as market sentiment and regulatory developments.
- Nov 28, 2021 · 3 years agoAccording to BYDFi, the inclusion of cryptocurrencies in the NASDAQ SSR list can have a positive impact on their volatility. When a cryptocurrency is added to the SSR list, it means that short selling of that cryptocurrency is restricted. This restriction can reduce the selling pressure and potential price manipulation, leading to a more stable and less volatile market for the cryptocurrency. However, it's important to note that the impact may vary depending on the specific cryptocurrency and market conditions. Other factors, such as market sentiment and regulatory developments, can also influence the volatility of cryptocurrencies.
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