The Bitcoin (CRYPTO: BTC) price is well known for its volatility.
The token is currently trading for US$43,476. That's up 4% over the past 24 hours, though it's still down 38% from its 10 November record high.
To give you some idea of the big potential Bitcoin price moves, CoinMarketCap tells us over the past 90 days it hit a high of US$60,949 and a low of US$33,184.
The Ethereum (CRPYPTO: ETH) price doesn't offer crypto investors any smoother of a ride.
Quite the opposite.
Ethereum is up 6% since this time yesterday, currently trading for US$3,020.
Over the last 90 days the Ethereum price notched a low of US$2,172 and a high of US$4,780. Quite a ride.
But the Ethereum and Bitcoin price volatility doesn't appear to be dissuading BlackRock, the world's biggest asset manager, from eyeing an entry into the crypto sphere.
Cryptocurrency trading service in the cards
As reported by CoinDesk, 3 people with knowledge of BlackRock's plans say the company, with US$10 trillion in assets under management, "is preparing to offer a cryptocurrency trading service to its investor clients".
According to CoinDesk:
One of the people said BlackRock will allow its clients … to trade cryptocurrency through Aladdin … the asset manager's integrated investment management platform. The timetable for unveiling the service is unclear.
BlackRock did not comment on the rumours, though the company was hiring an Aladdin blockchain strategy lead back in June 2021.
Should BlackRock follow through on launching its crypto trading service, analysts will be closely watching the Bitcoin price and Ethereum price to see if its institutional clients might smooth out the notorious volatility.
Bitcoin price volatility holding it back
The big weekly and even daily swings in the Bitcoin price is a drag on its "fair-value", according to JPMorgan Chase & Co strategists.
As Bloomberg reports, JPMorgan says the Bitcoin price has a fair-value level of some US$38,000, as the token is around 4 times as volatile as gold.
According to the strategists, "The biggest challenge for Bitcoin going forward is its volatility and the boom and bust cycles that hinder further institutional adoption."
