What is behind the massive rise and fall of Bitcoin??

[CryptoEarner999]

Today i felt so perplexed to see Bitcoin taking toll on another free fall. 12 hours ago, i saw the coin on an improvement going high to $37k. I checked back this morning at coinmarketcap to see the price dip down, back to the previous $33k. Dropping almost 14% in its price value.

What is really behind this steady up and down of Bitcoin price??

Reason for the massive rise in 2020-21 era

1) The Pandemic - it pushed people into online money making
2) Growing popularity of blockchain technology
3) Less number of Altcoins
4) Bitcoin being like a synonym for Crypto to new investors due to YT videos and articles of popular news media
5) Big companies saying that they would start accepting Bitcoin

Reasons for the fall:

1) Growing awareness on the existence Altcoins among new investors
2) Lifting of lockdowns
3) People getting back to normal jobs
4) Big companies withdrawing from accepting Bitcoins
5) Big names like Elon Musk selling their Bitcoins
6) Bitcoins becoming more and more normal(in the sense that people aren't hyped about the existence of a digital currency using which you can make 'anonymous' transactions)

These are just my opinion formed from my own observations.
Tell me what you think...
Thanks for reading

 

[Sincerem]

Reason for the massive rise in 2020-21 era

1) The Pandemic - it pushed people into online money making
2) Growing popularity of blockchain technology
3) Less number of Altcoins
4) Bitcoin being like a synonym for Crypto to new investors due to YT videos and articles of popular news media
5) Big companies saying that they would start accepting Bitcoin

Reasons for the fall:

1) Growing awareness on the existence Altcoins among new investors
2) Lifting of lockdowns
3) People getting back to normal jobs
4) Big companies withdrawing from accepting Bitcoins
5) Big names like Elon Musk selling their Bitcoins
6) Bitcoins becoming more and more normal(in the sense that people aren't hyped about the existence of a digital currency using which you can make 'anonymous' transactions)

These are just my opinion formed from my own observations.
Tell me what you think...
Thanks for reading

Thanks. Unfortunately all the things you mentioned also contribute in one way or the other to the falling and rising up bitcoins price. Currently the price of bitcoins is down presently. A lot of people are blaming this on war

 

[Syldan]

Actually it will be very difficult to predict sometimes, the reason behind the raise and fall of bitcoin but to some extent I believe the market forces of demand and supply is the first reason. when there is high demand, the price will be higher.

 

[Bookwormlux]

As with all financial markets, the demand and supply of Bitcoin is the determining factor that gets to show if it is going to rise or to fall. It is best to buy when it falls.

 

[greenie]

As we all know that the crypto currency exchange Business is volatile, the only thing that wonders me is that there no news like fundamental analysis that moves the price up or down that's why I'm always wary of the crypto currency exchange Business. In fact I don't just know and think it's only technical analysis that will be moving the price.

 

[tyrim88]

Sometimes when the market is saturated with lots of persons giving up their coin for sale,the whole market becomes saturated and the next thing that wll follow is a price fall,it happens in every coin.

 

[Lynaia]

Because just like any other coins, government have so many ways of influencing cryptocurrency to either increase or decrease its price by regulating the price of asset such as fiat currency through buying and selling in international market

 

[tyrim88]

When miners process transaction blocks, new Bitcoins are added to the market. The production of new coins slows down over time. ... However, according to the adjustment rate of the current block reward, the last Bitcoin will be mined around the year 2140. Fixed supply and growing demand cause Bitcoin's value to rise.

That is just the basics of the demand and the available supply of any basic commodity and the cryptocurrency is not excluded,so when the coin is scarcee,the price will automatically go up.

 

[Danny4cash]

It surprised me as well when I sometimes see bitcoin price drop down below expectations within 24 hours. The only thing I know is bitcoin is volatile. It price is not stable. That's is risk to invest in it. Another thing I know for sure is that they're some people that are influencing the price of bitcoin.

 

[Sincerem]

It surprised me as well when I sometimes see bitcoin price drop down below expectations within 24 hours. The only thing I know is bitcoin is volatile. It price is not stable. That's is risk to invest in it. Another thing I know for sure is that they're some people that are influencing the price of bitcoin.

Bitcoin drop as a result of so many complicated factors , sometimes they demand and supply plays an important rules but most importantly event and season could also be the major reason.

 

[GIFTMICHAEL]

Today i felt so perplexed to see Bitcoin taking toll on another free fall. 12 hours ago, i saw the coin on an improvement going high to $37k. I checked back this morning at coinmarketcap to see the price dip down, back to the previous $33k. Dropping almost 14% in its price value.

What is really behind this steady up and down of Bitcoin price??

Yes you are right because it's one of highest digital currency as well not constant currency exchange so I can fluctuate at any time to change the market values of its rate.

 

[Alisco]

Actually it will be very difficult to predict sometimes, the reason behind the raise and fall of bitcoin but to some extent I believe the market forces of demand and supply is the first reason. when there is high demand, the price will be higher.

As you just predicted easily,the reason behind the rise and fall of Bitcoin is the outcome of demand and supply,short and bulk