That's a good point, and since sellers are selling physical goods and services directly priced in Monero, it causes the Monero price to slow down its change rate, so it's not changing at the speed of algorithms, it's changing at the speed of humans. If a seller chooses to change the price, say once a month, that means that for that month, you must give that seller that amount of Monero to obtain that good or service, no matter what the exchange price says it is. This causes the volatility to drop.