Volume rendering produces block of "white noise"

That actually depends on what you want to do. What I am seeing is endocranial space has a background value of 5700 and the enamal, the densest structure in mammalian skulls, is in the range of 9000s. So the real range is in the 4000 range. Rescaling using this biological range and 8 bit conversion will give you 50% data volume reduction. The equivalent reduction in spatial resolution while keeping the intensities at 16 is going to cost you at the voxel detail.

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