Fidelity Digital Assets has observed a significant reduction in Bitcoin's volatility during the current market cycle, with a decline of approximately 50%, compared to the typical 80-90% drops seen in previous cycles. Research analyst Zack Wainwright highlighted this trend, suggesting that as the cryptocurrency industry matures, Bitcoin's bull-bear cycle volatility may continue to narrow.Wainwright noted that Bitcoin's price performance shows a pattern of diminishing returns, with each cycle's rally being weaker than the last. He also pointed out that the downside risk in the current cycle, expected to conclude in 2026, has decreased, indicating a potential stabilization in Bitcoin's market behavior.