Definition ∞ A high volatility regime describes a market environment characterized by unusually large and rapid price fluctuations. During such periods, asset prices experience significant swings in short timeframes, making price prediction more challenging. This regime often accompanies heightened uncertainty or significant market events.
Context ∞ Cryptocurrency markets are frequently subject to high volatility regimes, driven by factors such as speculative trading, regulatory announcements, or macroeconomic shifts. Understanding this market state is crucial for managing risk and interpreting price movements in digital assets. News reporting during these times often focuses on the underlying causes and potential consequences for various tokens and platforms.