What are the factors that affect the cryptocurrency market?

[Erik4150]

Bitcoin, Etherum, Litecoin etc... Sometimes the price of these coins rises and sometimes it falls.
What are the factors that affect the cryptocurrency markets and how does it influence the rise and fall of popular cryptocurrencies?

 

[Suba]

Based on market law, the main factors affecting the cryptocurrency market are supply and demand. The effect on the ups and downs of cryptocurrency depends on equilibrium. If the supply is greater then the price falls and vice versa if demand is greater then the price increases. Supply and Demand can also be affected by news, market manipulation etc.

 

[WhiteHouse]

Digital currency rate movements can be for the most part disclosed because of the adjustments demand and supply. The progressions generally rely upon a particular financial law. As per this law, there is reliance between an interest, supply (for resource, or some other item), and its cost.

 

[Prettybabe]

The factors that can affect cryptocurrency can be fear. Fear makes people rush to sell and it can in turn affect the price.

Another thing is the demand for a coin.

Another one is News. The news of an economy or other things can affect the price of cryptocurrency.

 

[WhiteHouse]

Cryptos somewhat are responsive to the Fiat which backs them, anyway the beast has outgrown that and established its own market climate which is receptive generally to industry news and occasions I.e. Segwit, Chinese forbidding trades, and so on and furthermore exchanging volume and changes; which can be a bit of frightening. At the point when a couple of people from the top 10% richest on the planet might decline a market all alone (or possibly seriously toss it into disorder,) it isn't the most steady of ventures. All that being said what we have seen as yet is the normal movings and idiosyncrasies of a solid exchanging climate, will it remain as such? Likely truly, however that is not the slightest bit ensured. There are still such countless laws and administrative issues to be settled which whichever way will totally influence the market; which is likely why those guidelines have been delayed in coming. Btc has been useful for the economy if individuals let it be known.

 

[Machismo]

The number one factor that affects the cryptocurrencies market is the law of demands and supply. Meaning when the demands are high, it'll make it to rise and when the demands is quite low, it brings about fall in the price.

 

[tuna89]

The more investors engage with the cryptocurrencies, the more the value fluctuates, some investors integrate crypto as payment mode or method on their ecommerce websites, some also use them for commodities trading, these are some of the factors that affect crypto fluctuations.

 

[Kinglegend01]

The factors that affect a cryptocurrency market are:
• its supply and demand: this is a pretty much the market law. While cryptocurrency is popular and is in demand, it will rise in price. And vice versa, if the offer is high, and demand is low, the price will fall. The rapid change in the balance of supply and demand causes price ups and downs.
• regulation of the particular cryptocurrency : One of the most important factors at the moment, which can seriously affect the situation in the cryptocurrency market. Both the news about the prohibition of a particular digital currency or the industry as a whole, and the recognition of Bitcoin as a means of payment influence the rate.

 

[Kaindio Agnes Wanja]

Well,there are factors that influence the rise and fall of cryptocurrency .
The first factor is the supply and demand in the market law whereby if so many demands for cryptocurrency we know that automatically the price will fall.
When the supply of the cryptocurrency is low in the market and there is high demand it means that the price will automatically rise.
That is the basic factor that affects the cryptocurrency

 

[Abibatabosede]

The factors affecting the crypto currency are not too different from factors affecting other businesses.
When ever there is more demand than the producers can supply then it woks at the advantage of hicking the price.Same happens in the crypto currencies world.

 

[Nicklas22]

Some of the factors are demand, supply and sometimes the decisions of government in countries such as China, America etc, all these determine if there will be drop or increase in the price of Bitcoin

 

[zagzagi]

Regulations, current developments, speculation, cyber attacks, emergence of new cryptocurrencies and supply and demand are among the main factors affecting crypto currency prices.

 

[btaliat]

There are many factors that lead to the volatility of cryptocurrencies. Among is market law, government policies, unnecessary fear, fear of future hike, number of people that invest in it and many more. As these factors affect cryptocurrencies, they also affect offline businesses.

 

[Nurudeen]

The major factor that affect the crypto currency exchange Business is politics and finance. If a news should come out In a Negative way from the United States of America that could cripple the economy, it will adversely affect the price of Bitcoin and will make the coin go down while any positive news that comes out will make the price of the coin to surge up.

 

[Ojonuyo]

I agree with you on this. Supply and demand are factors that cause great change and impact in the price of crypto currency. The higher the demand the more the price rise. The lower the demands the lower the price goes.

 

[giddy]

Cryptocurrency is characterized by gradual growth and drop in rate, as well as abrupt changes. Like any other asset, the cryptocurrency rate is driven by various factors. The rate depends on supply and demand in the market. But there are also other factors that influence the cryptocurrency price movements

 

[Tiwa]

Factors affecting coins in the cryptocurrency market is not so different from that of the stock exchange market. Largely demand and supply which also is affected by news on the coins could b adverse or positive. Usage or usefulness. The more a coin is multipurpose in uses /activities it can be use to implement, the higher its demand or interest to hold on to such coin and the higher its market share.

 

[Kamon c4]

Just as the normal market, the value of cryptocurrency is controlled by either the governmental laws or the demand-supply dynamics. Governmental laws may influence the price of cryptocurrency. Also demand-supply also has an impact on the value of cryptocurrencies. The higher its demand the higher its value also the lower its demand causes higher supply and lower prices

 

[Ridorz]

Thank

Bitcoin, Etherum, Litecoin etc... Sometimes the price of these coins rises and sometimes it falls.
What are the factors that affect the cryptocurrency markets and how does it influence the rise and fall of popular cryptocurrencies?

Thank for this question, it is what I've been curious to know about since while. And I can now more understand it by people answers to this question. So, which means that the rate of demanding of Bitcoin by people will determine the fall and raise of it.

 

[Sincerem]

Volatility, supply and demand of Cryptocurrency can naturally affect the price of all coins. When it comes volatile nature of the coins, their are coins with volatile nature. That has the weight to go higher and drop drastically low. Due the volatility in Cryptocurrency, it becomes an investment choice for us, becomes it simply goes up and down. You buy at the low, and expect it to go high, so you make your own gains. Isn't that worth it??