Topic: Explanation why bitcoin price is growing (Read 1301 times)

There is always a certain reason behind everything. So is the case behind bitcoins. When demand for something increases but, supply is still same, then it's price would increase. Same thing is happening with bitcoins. Number of people who are using bitcoins is increasing now but their supply is still same and as a result, price is increasing day by day. The price increase will come to rest when the demand is either controlled or supply is maintained according to demand.

If the main reason is MMM, then MMM should be in trouble. MMM is a Ponzi, it has to buy all the time so that the Poniz scheme is  live. So the price should rise all the time with consistent buying from MMM.

Reason: People love Bitcoin.

Ta-da.

https://youtu.be/0iQSRGT3nfE

I don't have any precise data. I am just postulating here.

People on this forum are so dumb.

It's China. They're buying bitcoins to mitigate their government's short-sighted attempts at currency control.

You do know where the buying pressure is coming from, right? Follow the money trail and it all leads to China.

How do you know the main reasons is that MMM Global ponzi if you don't have precise data. Yes, I know many ppl are involving at this ponzi. But nowadays it is just our assumption. I know once this ponzi collapes, it will dramatically affect bitcoin's image again.

I don't think BIP101 is accepted by the majority. In fact, it looks like there are a bunch of v4 blocks on the testnet which are not for BIP101. It could also just be one person with a few miners (since the testnet hashrate is so low) that is mining a BIP101 blocks but the fork has not happened.

The price could also be growing due to the MMM Global ponzi where a lot of people are "investing" Since it uses Bitcoin, people might just be buying Bitcoin to use in that ponzi, which ultimately will create more negative media for Bitcoin once that ponzi collapses.

This article as well http://coinour.com/index.php/2015/10/30/will-the-rally-of-bitcoin-price-continue/

It seems BIP101 is accepted by the majority and has been implemented in the testnet. Just to see how it plays out.

did I miss something? what is the consensus on the block size?

The mining operation in China is more than 50% of world total. You cannot steal so much power to mine. The electricity price is cheap in some parts of China. Most of the mining farm are close to hydro power station, where the electricity price is less than $0.05/kWh.

PS

I also expect start of netting subsystem between main exchanges, it would help the volume grouth

Here's an other good explanation for you:

http://www.zerohedge.com/news/2015-11-02/reason-bitcoins-recent-surge-revealed

There are several reasons:

1. (The most important) Bitcoin is Exempt from VAT, Rules European Court of Justice. BTC=Money. If you make value in BTC price rise there will be no tax deducted. Also This means that victimization of bitcoin universe will stop. This chain of events also opens doors for china residents to transfer funds out. That is where all this money comes from. You may ask why there was big lag in price surge, well big money have some lag in them. you need desicions to be made in meeting rooms and banks need time to trunsfer funds.

2. There was some caution over mine power destribution ... it all been in China on stolen electrisity and all. Now that there are big mines created outside China, the is more safety for any bitcoin investments(PS first point would not work without the second)

3. As the bitcoin keeps surviving all the odds, there is more trust from the public. And that takes time. Longer bitcoin stays alive, more trust it will have.

4. Waves. There was like 2 year downtrend. And 200$ basicly is pure mining cost. Market can go lower but when all cheap and old bitcoins  will be sold we will push off the 200 mark up.

5. Consensus on block size is good news from all sides

If you have anything to add, pls wright below.

PS i dont know is this super surge will go to the moon, or last, so be carefull