What brings fluctuations in the prices of crypto currency

[Chibson]

There are some economic factors that affects the price of Bitcoin like inflation and deflation. When there is a lot of money in the hands of people who are ready to invest in Bitcoin the price will definitely skyrocket. But when they start taking profit, the price will start going down.

 

[lottowinningsignal]

The demand and supply dynamics are the major things that causes the fluctuation in the cryptocurrency market . This is is basically because the crypto-currency market is driven by the demand and supply of the cryptocurrencies.

 

[tyrim88]

There are some economic factors that affects the price of Bitcoin like inflation and deflation. When there is a lot of money in the hands of people who are ready to invest in Bitcoin the price will definitely skyrocket. But when they start taking profit, the price will start going down.

That is definitelly the basics for any market and comodity,that is if the comodity becomes scarce the price will definitelly go up and when it is in circulation its price will drop,same is applicable to the cryptocurency market.

 

[glitch]

It seems like certain people hold an influence but the main influence is the state of the economy. If the economy is doing bad, people are more likely to pull out and make use of that money to make ends meet. I think this is why Bitcoin took such a huge hit this year. The economy in the US alone is in a horrible state. Inflation is over 9%.

 

[Popular]

What affects the fluctuation in cryptocurrency is it the demand and supply of it. When someone invest with a large amount of money he actually affects price fluctuation so in summary the richest investors are the ones that affect the fluctuation of cryptocurrency.

 

[Chibson]

That is definitelly the basics for any market and comodity,that is if the comodity becomes scarce the price will definitelly go up and when it is in circulation its price will drop,same is applicable to the cryptocurency market.

There are times when a particular commodity will be in high demand and in that case the price they will probably skyrocket. That is what happens in the bull market. When there is so much money in the market the chances of cryptocurrencies skyrocketing will be very high.

 

[Shigobad2020]

The volatility of the crypto currency market is the main reason why the crypto currency always flunctuate , and thats the reason why the price rises and sometimes falls .