Topic: Factors affecting bitcoin business (Read 721 times)

Yes, for a stable business, cryptocurrency is not yet the most reliable option, as for me.

There are some factors affecting the bitcoin business. These are:
*Good news about legal acceptance in some countries. Similarly the bad news about its ban in some countries.
*Too much purchasing or selling of bitcoin also affects its value.
*Too much mining of bitcoin also affects its value and business.
*Some pandemic spread also devalues it as it happened in the past due to coronavirus.
*Political conditions of the world like war, stock markets crash also affect on its value.

You have a point; I also see the vulnerability of it cause not everyone is willing to adopt it. I think it's normal for every business to be affected by the government; one of the major problems is how you can keep the business operations smooth and clean; it is operating online, which makes it easily exposed to cyber threats. Entrepreneurs could implement many bitcoin business ideas, but being the prime would be a challenge.

Not really. Even before any major government accepted it,,, Bitcoin was already deemed by people like you and me as currency. This is what is most important. Unless you are a business that must be regulated, you can use BTC even if your country bans it. That is the beauty of a decentralized network under no control of any single person or power.

actually for now there are still very many factors that affect the bitcoin business, such as government policies that still prohibit the use of bitcoin, and world banks that do not accept bitcoin, and large companies that do not accept payments in bitcoin, and there are also millionaires and greedy whales who post things. negative about bitcoin, so it affects the market..

the factors that affect the bitcoin business, many policies affect the bitcoin business, maybe some of them can be said that government policies may be one of the factors that affect the bitcoin business, such as state legal issues that tend to change, sometimes there are also negative posts made by irresponsible party.

What affects Bitcoin can be seen through Bitcoin's price fluctuations.
But there are many factors that affect the price of Bitcoin.
Media reports will also affect the price of Bitcoin.
The demand and supply of the market will also have an impact on Bitcoin's business.
Everyone is not firm. Will follow the market trend and choose investment methods based on media reports.
Some people are not firm on Bitcoin.

But in time mate , all these things will come to an end and the government will completely accept this coin once they realized how helpful this coin and this market is the answer to speed transactions worldwide.
i remember when i was new here in crypto , i always ask what is this and why people likes this until i have come to understand and helps me with many matters, this even answers my financial problem in the past.

The major thing that has a strong effect on the price of Bitcoin and even the stock market is the government. The government is a strong hindrance and threat to the survival of assets and commodity which they think might cause threat to their government. That is why the government/politics has it's effect on the price of crypto assets and on Bitcoin in particular.
Most countries which accept Bitcoin found it favorable to their economy while others who reject and ban the use of Bitcoin or crypto thinks it's a threat to their economy.
Though the political and governmental effect towards Bitcoin, the acceptance of known wealthy people, companies and financial institutions joining the system, will reduce the negative effect of the government on the price of Bitcoin and crypto at large.

One major factor I feel is affecting bitcoin is global acceptance, not as general currency. But as a legal platform. Having world power countries settle with this would really make a difference for Bitcoin.
The factor of supply and demand of the coin in the market really can't be overlooked as it determines scarcity or abundance in the market.

You have almost listed major factors that can affect the bitcoin business. I would like to add more three factors missing in your list :
1. Regulation and governmental laws towards the cryptocurrencies in general or when a government decides to lunch its own cryptocurrencies and force its citizens to use it only .
2. Huge volatility with an unstable price interval during a determined period. People can't run a secure business with this level of volatility .
3. The next Halving sheduled to happen for the next years which will surely impact the mining business and other related services in addition to more volatility in price .

Factors would be;

1. Regulation/ Government decisions towards bitcoin or crypto as a whole.
2. Personal problem by owners with volatility

I dont see anything or other than that when it comes on affecting bitcoin business because volatility and regulation would be the main thing
but its impossible that business owners arent really aware with that.

That is totally right. Many countries live under total political instability nowadays. It happens because we have a very splitted population inside a same country. Half of the population doesn't agree and wants the opposite of the another half of the population. It leads to a hostile climate, which affects the society negatively in all aspects: social, economical, professional, ethical...
One of the main consequences is the lack of interest from investors for those countries, because they don't know how it is going to be the next day, as they be affected by sudden abusive regulations. Since it's a risky deal to invest in such countries, they just prefer to move their money to places where they can find stability, a pacific society that literally speaks the same language.

Just like investors, bitcoin can be also negatively affected by those same regulations. I believe a solution would be if unstable countries were finally splitted in half or more, like the old kingdoms of Europe, so each citizen could live on the territory he agrees with the political spectrum.

You can learn about some factors which hold an impact over Bitcoin price. Often, investors get to trade online over places such as bitcoin union. If you’re an online investor, you might be willing to know all about the factors affecting Bitcoin’s price. For this purpose, you need to read ahead and learn about all the factors.

Adoption of users: One such factor affecting the price of Bitcoin value is the adoption of users upon the assets. With the rising currency popularity, it can lead to striking the prices above the prevailing price. On the contrary, when currency demand goes down, it can result in lowering the price. In the present time, many users are switching to Bitcoin currency, which works as an excellent online trading currency. Many individuals, MNCs, investors have started using Bitcoin as a medium of making online transactions. Seeing the wide usage of Bitcoin, it can be stated that Bitcoin prices might fluctuate higher shortly.

Future analysis: No doubt, it can be easily stated that cryptocurrency future prevails to be uncertain in the market. Even after seeing the uncertain nature of cryptocurrency, there are chances of Bitcoin trading to extend more among investors. The industry of Bitcoin is growing with the wide usage of such currency. It is not possible to make any predictions about the cryptocurrency prices. Though, the strength indicator which works on Bitcoin depicts that the market for Bitcoin is not going to stop in the further few years. This is something that holds wide importance in the Bitcoin market. With the changing trend of Bitcoin, several possibilities have been emerged related to it. So, it can also be a factor that influences the Bitcoin price.

Regulations related to cryptocurrency: In the price affecting the list of factors related to Bitcoin, one such factor is regulations. In the online trading world, a wide experience of accelerations is seen. With this record, it has made a necessary thing for regulatory bodies to pay attention to the Bitcoin industry. Governments have become active in keeping an eye over the activities involving money laundering and other things that might hold a reference with Bitcoin. In several countries, Bitcoin’s development is not holding any restrictions. As a result, some of the users consider it as legal and other neutral.

Reward Halving of Bitcoin: Another factor that holds a contribution to the ever-changing Bitcoin price is reward halving. In the Bitcoin world, there is a limit for the amount fixed to 21 million. It is not similar to the fiat money that holds an inflating nature. With the reward halving, the mining industry faces some major impact. If you ignore this factor, it can result in affecting your earnings from online trading. Being a wise investor is not sufficient to make profits in the cryptocurrency market.
Bitcoin market cap: In the ever-changing scenario, the market cap is also a factor that can affect the currency price. If you’re unfamiliar with the term “market cap,” then you can learn about it here. In simple words, the market cap is referred to as the Bitcoin market value. If there is a higher trend for the market cap, it is a good chance for online traders to get hands over higher profits. On the contrary, when there is a downward trend in the market cap, it may result in lowering the profits for online investors.

I agree government regulations greatly affect Bitcoin-related businesses, many countries whose governments prohibit the use of Bitcoin as payment,
this does not hinder the development of Bitcoin. However, slightly hindered the adoption process, because some merchants who want to accept
Bitcoin payments, become unable to adopt Bitcoin due to government regulations. Especially for a country that completely bans the use of Bitcoin,
this is very bad for the Bitcoin adoption process. I really wish the government was more open in looking at Bitcoin, because Bitcoin is not a threat,
but Bitcoin can provide benefits for the economy of many people.

That is more a choice on what people want to use. Most people in the world want to be able to use something or look for uses that is not already found in the existing system. Does bitcoin have any? yes and that is why it has made its place in the economy. Tech things are not that important to people are not involved in it. Looking from a perspective of a common non-techsaavy user you will also comprehend this.

That is also the reason why some people get fooled into buying shitcoins. I do agree that most people using bitcoin should have a basic understanding of the tech behind it but that is not necessary for everyone to be able to "use" it.

Definitely a bitcoin based business should take into account to train its employees to understand how to run the PoS machines if in future Bitcoin PoS machines come into existence. But all these "training" and all take the backseat once the flow starts, which you would also agree on.

Government regulations is very affecting bitcoin related business, fortunately my country didn't ban Bitcoin although government also don't accept bitcoin as currency. This condition still give chance for bitcoin related business such as exchange site, payment service and etc. In my point of view, the trend is still good. There are many cryptocurrency related business that emerged, the number of cryptocurrency users also growing. I think as long as government don't ban Bitcoin then bitcoin adoption progress can be faster.

That's not all, why not talk about technical analysis which bitcoin builds are doing better, such as segwjt or taproot.  Technical factors are much better than peripheral factors due to the extremely wide influence of bitcoin, economy, life, payments, etc.  it will also affect the value of bitcoin similar to the news it is accepted or favors favor

In Bitcoin trading, many factors are responsible for affecting the Bitcoin business:-

Supply of bitcoin and the market's demand.
Cost of producing a bitcoin through the mining proces.
Supply and demand
Communication
The rewards issued to bitcoin miners for verifying transactions to the blockchain.
Scammers.
Competing cryptocurrencies🙏🙏
Many other factors are there which affecting bitcoin business.

Different people believe on different features as the factor affecting bitcoin businesses. Some state the liquidity as the issue, because people don't have a mind to think it same as gold. Some find volatility as a factor affecting the bitcoin business, but for the one who understands the reality of market volatility will find it beneficial. Above all, the transaction delay and limited acceptance is a major factor. This will slowly change.

The desire of market for bitcoin and its availability affect bitcoin business. It means that if demands for bitcoin increases and grows faster than the supply which might cause the price of bitcoin to rise. Popularity of currency will boost the price whereas low demand for currency will drop its value. So these factors effect bitcoin business.

I consider government as a major factor that is affecting government, government propaganda towards cryptocubutrrency is primary challenges of bitcoin today, because of government so many countries are adopting the policy of banning cryptocurrency, so another secondary cryptocurrency challenges is Elon musk procrastination, castigations, circulation of fake information towards the development of cryptocurrency especially bitcoin across the world, all these are bringing setback of crypto sphere into different nation.

that's how actually government affects bitcoin and the entire crypto space. wherein when they do something that against in it, surely there's always an impact in the market  because most investors are panicking even market is just making a small correction despite of negative news.. Yes i believe they can shake the market when it comes banning something that related to crypto currency, But without panic selling maybe market will not become worse even before.. Just saying

Bitcoin's market is an unregulated market, there's no way the government can do something with that as it is a decentralized market. Even how hard they try to regulate the exchanges and other crypto businesses.

They just can't regulate the market itself and that's why it's prone to some movement being done by influential people.

You are right to some extent because the government may not be able to regulate the pump and dump of the Bitcoin market by an influential individual, the government may not do that but rather concentrate on tax collection and crime watch.

right, the presence of the state will make bitcoin fluctuations not as high as they are today, where people with money power and influence can influence the community and finally do what he wants like ellon. Indeed, in a pump and dump situation there are many people who benefit, but there are also many people who are frustrated by it. therefore with the current conditions, we must be good at using moment

Sadly yes, but you can can see similarity with the fiat markets, they too get a lot of movement when the political situation becomes unstable or something good or bad happens. Even they are regulated but they also face the burnt, so I think the effect evens out for both crypto and fiat markets.

Change is the rules - I can think of the SegWit debate and it was for the good only but it faced a lot of empty criticism even so much that some people, opportunistic people I say, seized the chance to start their own forks of bitcoin calling the original bitcoin as a copy cat. But then again this a rare thing happened once a decade. Halving- yes that has a temporary movement on the market.

But these things only have positive impacts on businesses. Because they are solving problems not creating them.

I believe the only factors that's influencing Bitcoin business are just the stated point in the 1-3, 3 and 4 are actually the same thing while the change in the rules of Bitcoin (which I believe is Bitcoin protocol) is decided by the community and could only yield positive influence on the Bitcoin businesses.

Maybe the bitcoin price will not too fluctuate at that time because bitcoin will get big support from the country, especially if a big country can accept bitcoin. There is no room for people like Elon to manipulate the price, especially to moves bitcoin but they can manipulate the low price coin because they have the resources to do that. Besides that, they already did that before so they will use different methods to move the market.

Bitcoin itself will become stronger as many countries support and maybe bitcoin will be like gold in digital currency.

I don’t agree with you. In fact, it is very difficult for the government to influence Bitcoin.

Maybe the government's policy will make the price of Bitcoin fall like China, but it cannot affect Bitcoin itself. The inherent properties of Bitcoin will not be affected, and no one can influence or change them. The last thing I worry about is the government, because Bitcoin is not for the government.

Politics really affects the bitcoin business, because bitcoin is quite dependent on the regulation of a country. The restriction of bitcoin by a regulation makes its price fall considerably, and vice versa, will soon rise when it gains the trust of the government.

Applies to all economic sectors. Why bitcoin only? As a matter of fact, use of bitcoin on a country basis is still small and so the policy affecting bitcoin would be small too. Moreover, government leaders dont change policies immediately, they do some cost-benefit check before changing them.

Yeah the electricity will also go down making bitcoin useless. Are we talking about absolutes or variables?

The biggest factor is neither of the above, it is Demand/supple ratio. If people want to do shopping with bitcoin, a bitcoin based business will flourish, because the government is not controlling bitcoin, though it would help a lot of they make it legal.

If this factor occurs then the price of bitcoin will not fall very far and will even rise again very quickly.
This factor has little effect on the decline in bitcoin prices, in my opinion the most influential factor on bitcoin prices are investors who buy bitcoins at very low prices so that sellers cannot sell their bitcoins at high prices.

Adding up since we do talk business;

-Peoples demand
-Been patch up with newer ideas or better product.

Regulation or government intervention is most like since you've been  dealing with decentralized thing which it isnt a surprise.
So better prepared yourself on that one.

Well, you have a point on this and all of these are negative side effects on bitcoin or the dark level side. It is also followed by technical education and most people don't have knows technically how bitcoin works and use. The last one is prone to fraud and criminal activities and also everyone will perhaps a tax-free when they are using cryptocurrency online. And the last one is unregulated so there is no tax that can be implemented. However, why people are thinking about the negative side of bitcoin instead of adopting this.

Pretty sure you meant Bitcoin businesses and not Bitcoin itself as the title of your thread suggested because the factors you mentioned above can't have a direct effect on bitcoin as it isn't centralized like the other currency out there that the government of the day can easily manipulate.

Already it's not a news that bitcoin isn't owned by any government which is why it has no direct correlation with the government of the day or political stability of the country though this can have effect on all business and not just those associated with bitcoin.

Assuming the discussion was focused on factor affecting Bitcoin itself and not business associated with it then the demand and supply factor has to be the priority here before other factors can come into discussion.

Factors affecting bitcoin to me are
+ Technical education
+ scammers, and project mismanagement
+ Laws and banks unacceptance
+ Expectations of +Newbies- this is a Factor because if this expectations fall-short they flee-away
+  Exchanges tragedies/hacks
+ The unknown identity of the person you doing business with, -thats if it's at random-
This are Factors that affect bitcoin business negatively because that to me is what your post is exposing

El Salvador has an open mind accepting bitcoin and we appreciate it and hopefully, the other country will do the same as that country. I am sure that a lot of adoption and bitcoin will be recognized as legal tender. We can wait for which country will be the next El Salvador and follow that country.

The government's decision can impact the bitcoin price because their people use bitcoin to make money. If their people know about the prohibition from their government, people will panic and save their money in exchange and get back to their country. But we need to wait for more.

Well, the government is an all encompassing entity that whether we like it or not, controls the country and anything that's involved in it so it won't be a surprise that bitcoin is being attempted to be controlled by them because if you give people freedom like this, they won't need the government that much and they will hold less power over the population.

Not at all times. Remember the El Salvador news? The government there just went all-in and recognized Bitcoin as a legal tender. Pretty sure that there was a lot of adoption there that is why it was now recognized as a legal tender.

Even if government decides to ban crypto, people still have the means to use VPNs to trade cryptos around the internet or even browse anonymously using Tor. P2P is worth mentioning as well.
Do not let the government make you paranoid too much making Bitcoin "fall".

---

Dunno why my other replies here got moderated.

Well, OP isn't talking about trading so I don't see where you're getting at, you might be right about it though but your answers not in the right thread. For businesses, I don't think that communication is a problem because most businesses built in a region would probably speak the same language. Your number 3 and 4 are soewhat redundant.

Negative news and other economic threats is the struggling point of bitcoin business, that's why people who's in panic tend to rant everytime there's a downfall. The only thing that we need now is determination and faith towards our every goals on finances, because if you're not motivated you're easily get discouraged. We should educate ourselves and learning process must be on focus to avoid losing control when pressures come.

Bitcoin is a digital currency of great value. Bitcoin value is always changing rapidly. Factors affecting bitcoin trading.
1. Supply and demand.
2. Communication.
3. Political change.
4. Changes in government regulations.
5. Changes in the rules of bitcoin.

The government can be one of the factors that influence bitcoin's fall, and we see that some countries already prohibit their people from using bitcoin. But that will not happen forever and as long as they can access the internet without a problem, they can invest in bitcoin. With all of those factors out there that impact the bitcoin price to go down, but you should remember that will only happen temporarily. It is better to calm down if you see the bad news and not do anything until the situation can back to normal.

What you mean by bitcoin business?

Any business that accepts bitcoin as payment or crypto trading platforms and other sites like casinos, etc?

Only factor that is affecting on the both side is slow transaction processing and high transaction fee.

That's easy to answer, the country that you want to cboose are those that have a stable social and political climate and the taxes aren't really high for start ups, take a look at Carribean countries, Scandinavian countries have higher taxes though but they are pretty stable, Central America still has problems with drugs and violence so they're not a good place for start ups.

this is why some are asking if which country is best for bitcoin startups or business to make sure that they wont waste their time , effort and money .
i dont think if theres still a country that didnt know bitcoin but even if there is some adoption in that place but the governance is poor and selfish , bitcoin would still be banned on that country .

The major factors that you have listed affect almost any type of businesses, you don't see any Amazon warehouse in South Sudan right? The factor effect is generalized. What I think is a major factor is the adoption in the region because if no one is using bitcoin, what's the point of doing business there unless you are a big company that can sustain losses for months or even years to introduce the region to bitcoin then probably you can turn that lack of bitcoin adoption into a profit.

I guess you don’t know OP the fact that, BTC is decentralised that is, it’s can’t be controlled by any government.
So i guess these factors not at all affects the Business related to Bitcoins.
According to my perspective the real reason that affects the price of BTC is it’s price itself.
Due to uncertainty of the price and continuous changing of the value of the coin, many businesses are getting hampered.
That’s why till now many other businesses aren’t integrating BTC as a payment getaway too.

Still, I believe that there are major factors like Whales movement and investors holdings. Though government's say about bitcoin surely affect the price but the demand and supply can definitely make the market goes down or up in an instant.

Fuds has also a great contribution to the bitcoin's market and as I have noticed, if any news like country's implementation of ban for cryptocurrency, the price dumped after the announcement.

I think there.are a lot.of factors.that influence the fall of bitcoin, especially in addition to the many prohibitions from several countries that will more or less hinder the development of bitcoin price stability itself, plus public opinion which greatly influences its impact on bitcoin, we only I hope that a similar incident doesn't.happen again

our fears and doubts about politics. The government has taken over the bitcoin regulatory policy that makes it easier to access transactions in bank support and bitcoin legality. This government is afraid of the safety of banks and payments of embezzled money and the risk of state finances.

The government is the major constraint against bitcoin and its related businesses and until the government fine, a way to have full control of the digital currency space there will make no policy that will benefit bitcoin and the rest of other cryptocurrencies. I believe soon the government will realize how helpless they are concerning decentralized businesses most especially bitcoin.

I hold the same view as you. The change of government may introduce some unfavorable or favorable policies for Bitcoin, because every leader has a different attitude towards cryptocurrency, which also indirectly affects the price of Bitcoin. In some politically turbulent areas, their home country’s fiat currency is out of order, inflation is serious, or the US dollar is directly used as the country’s fiat currency. This is why El Salvador uses Bitcoin as its own country’s legal currency. In the hands of Bank of America, it is the best choice under current national conditions.

I agree, but let me add and discuss more. Political factor really affects bitcoin businesses and even bitcoin in general. Politics play a great role in bitcoin legality in a country, hence when an adminstration changes, there's also a high possibility that the status of bitcoin legality will be compromised. Same applies with bitcoin business. When the government leader suddenly shifts, and the newly elected official don't like or sees threat on bitcoin or crypto in general, then the business operations will be halted for a period of time. It can even be banned, resulting to serious business damages and losses to the entrepreneurs.

Aside from political factors, technological difficulties can be also a huge problem when it comes to bitcoin businesses. Sudden power interruption, loss of connection, slow transaction time, high processing fees, and the likes could cause great trouble in bitcoin business. These could put the business at risk if ever it would occur most often than normal.

Foreign exchange could also affect the rise and fall of Bitcoin not only the government.

They're not the main factor for me, I think the volatility of the market is the biggest one because volatility has been on bitcoin for as long as it exists so I don't think that politics and government is the main factor, maybe if the instability in the region is deplorable and can be described as a clusterfuck then probably it is the politics and government is the main reason but that doesn't mean that it's the biggest factor for every region with a crypto business in it.

If BTC is accepted for payment in many places, there are also banks where they are afraid that BTC is a danger like a large bubble of the market and at some point it will explode because of this. That is why many countries or banks are still very strict with accepting payments in BTC. This is probably a pretty big deal about BTC becoming a popular coin in the world.

You should not forget about the minor factors that can affect bitcoin, such as the news on the internet, because we already read about that a long time ago. And in a few months ago, we also read about the news and some of that news make the bitcoin price jump to the high price and suddenly, the price is down until the current price. But that does not stop bitcoin from increasing, especially when the adoption still continues because it can give bitcoin price to raise more.

The 2 factors stated in OP are a lot broad and it's not something that is limited to bitcoin alone as it can affect every other business enterprise in a nation. Bitcoin or cryptocurrencies are not nation bound and as such, a different set of factors can affect it entirely.  No doubt the government is a leading force in this factor but change in government doesn't necessarily imply a negative or positive addition on the system.  At least, there could be stability in the bitcoin or cryptocurrency market structure even with the change in governance.

 Two factors that basically affects cryptos are:
1) Taxation: Government uses taxes as a measure to revenue generation and the smooth running of a state hence, it is a vital aspect of governance and with the fact that, bitcoin and cryptos can't be appropriately taxed, it becomes a problem to the government hence, they antagonise its truth and growth to avoid the problem. Sadly, that isn't solving the problem as it doesn't make it go away neither can you cover the truth for so long, it would always pop up in time.

2) It's exclusiveness to fiat: Government believs bitcoin is here to replace fiat looking at the fact that, they both operate on two different systems for which bitcoin is distinctive as it Is decentralized while fiat and government operates a centralized system. Hence, they don't go together as it is beyond government control hence, they dispute its ideology. Still, it doesn't make it go away, the limitations would stop when it will.

The main reason of Bitcoin affecting that governments denied crypto and it's application, sometimes central bank also denied crypto, ..some illegally obtained money laundering and criminals activities hampers Bitcoin and it's business badly.

I think that the factors that you mentioned affect all kind of businesses in general and not specifically to bitcoin or cryptocurrency businesses, in my opinion the legality of cryptocurrency is probably one of the most that affect these type of businesses, just like what is happening with a lot of places where they suddenly banned bitcoin, and the second factor probably is the volatility and the constantly changing price, because you have the person buying an item for 10 dollars and the next day the owner has 5.

Of course, there.are many factors.that affect.bitcoin, one of which is a mixture.or statement of influential.people in a business.this impact will be quite significant.for example, such as the statement made by Elon Musk.in the last few.weeks, and we can see from the impact of the changes.that have occurred on bitcoin itself.And we can only hope that this statement will not

There are some other factors also which affect the Bitcoin like regulation of government giving status to bitcoin or not,mass adoption of Bitcoin as wholesale and retail investments, increase of demand and less liquidation or say shortage of btc in circulation which will boost the prices.Some other technical points are there so we can say there are majority of factors determining btc prices.Change in any of them can cause fluctuations in prices so you can mention some more in your list.

I think that if we're talking about adoption of cryptos as money, tranthidung is right that instability can push towards adoption. However, if we're talking about crypto-related businesses, I believe they prefer operating in economically, socially and politically stable environments. After all, you don't want your offices to be robbed or your employees to be arrested for some political reasons. Regulations are also important because if they're harsh, it's not a welcoming environment for businesses. Heavy taxes, licenses and bureaucracy can draw them away.

You made some of the real factor. But lot of unknown factor in the market. They are holding, it's huge market deciding factor. People made huge holding during the bear market everytime. And it's important cause of the bull run after the huge bear run.It's market deciding factor.

It can bring positive or negative impacts on Bitcoin, short term. Long term, the trend is bullish. Because the general trend of traditional economy and fiat currency is hyper inflation.

The problems belong to governments, their fiats, not Bitcoin.

It's not true. Have you ever heard the story of hyper inflation in Venezuela and the sudden massive adoption on cryptocurrency?

• Venezuela to Sell Oil for Petro Cryptocurrency in 2019, Says Maduro. In 2018, eventually this attempt failed.
• Venezuelan Economist: Cryptocurrency Is ‘Good’ Money, Bolivars Are Not (in 2019)
• Venezuela’s Bitcoin Story Puts It in a Category of One (in 2020)

Financial and political crisis contributes to the top trading volume for Venezuela among other Latin-American nations on Localsbitcoin and Paxful.

• Check the overview for Latin-American nations
• Check the combined trading volume for Venezuela only

there are so many factors that affect bitcoin, one of which is a statement from Elon Musk itself which resulted in its price dropping.in the global stock market.Inaddition, several government bans.in several countries will also greatly affect.the value of bitcoin itself.plus negative issue sagainst.bitcoin that have emerged.throughpublicopinion. maybe these are some of the factors.that influenced.the price fall to
itslowestpoint.in this era of digital currency being.formed,and we hope this is temporary and the price will be stable.as before

I thought that we are talking business here, title maybe a bit misleading, should be adoption or acceptance of country. But in any case, bitcoin is borderless, and I think once reason why government are against bitcoin is that bypass them, like what China view it, specially capital flight. So it's a big challenge for them, specially its decentralisation and (psuedo) anonymity.

So it really depends on the government itself, some even try to create their own crypto, CBCD just to cater the public's interest.

Most likely, there are many contributing factors that become a hindrance why there is a disrupt or Bitcoin business cannot be establish into a certain place or country. Government issues became one of those factors that we commonly hear or read from news articles which is really relevant why it does affects Bitcoin businesses. Availability of resources like merchants and adaptability of people to cater services where Bitcoin usage is being offered is also some of the factors. Factors usually vary depending on where Bitcoin business is situated or being planned to be established

I agree with your first point, maybe you can add those government that doesn't want to give freedom to their people, like China.

However, the second part, is the opposite in my opinion, if there is political instability then people should really go to bitcoin and crypto to hedge their wealth. So before everything goes down and worsen or your local money devalued, it's better to put it to bitcoin.

Talking about other factors such as the use of electricity, of course China's decision is the most fatal factor at this time, by boycotting miners in China and then expelling them. Their reason is that miners in China use too much electricity because mining bitcoins requires a lot of power. This decision is of course also based on changes to regulations in China which currently prohibit cryptocurrencies and political instability. There are many pros and cons to expulsion of miners in China, but the miners did not bother and began to spread in various countries that are better to serve as mining centers that use electricity generated from nature and are environmentally friendly.

The major factors to consider affecting bitcoin is the demand and supply where the value of bitcoins came from. Also another factor is the electricity and internet connection, because you can't use bitcoin and make transaction without electricity and internet. Then, next is the government who wants to ban or regulate bitcoin in order to control it.

This is because BTC or cryptocurrency isn't very much accepted yet. We dump whenever there is a crackdown like what goes on today with Binance regulation in Canada, Japan, and UK. It's a relentless pattern to deal with when governments know the people are turning to Bitcoin. but once it becomes legal and accepted like regular cash, the problem that businesses will just have to deal with is the price adjustment to be automated and the future.

Well that's one of the issues but what I think the major factor is the price volatility and easily to be manipulated, government always look at that scenarios to make an impression of bitcoin so if the market always act like that then they will think that it's really not worth it to allow it to them since it's so risky for their people to dive in this option but if we can see some great changes in the system maybe we can see this allowed and also the business using it will boom to.

That's external factors are give big impact on bitcoin business. Regulations that ease the use of bitcoin among the citizens will boost the growth of bitcoin business. I hope government don't see bitcoin as a threat. Bitcoin is only a money. But I think all ban and all restrictions that government made for the use of bitcoin is only affecting for short term. Atleast that is what I know during years investing in bitcoin. So in my opinion government can't stop the growth of bitcoin business.

Above-mentioned two factors that acutely hampers Bitcoin market/businesses but some another reasons also very bad effect on bitcoin market. Sometimes central bank also refuse Bitcoin, smaggling activities, money laundering, currency infusion that are the some reasons of Bitcoin market crashing.

That's expected whenever a new country gets in with a surprising announcement of their stance towards bitcoin.

It's essential for them to change, remove or add some policies so that it's going to be favorable to them and to their people.

Of course there is the issue of some companies not operating in crypto-currency space and you will have to accommodate other payment options.

Of course the factors that are influenced by certain parties are very influential in any form, especially with regard to a business, if there are parties that interfere this will greatly affect a stock, especially people who are very influential in a field. , such as an example of a statement made by Elon Musk.We all know how the impact on crypto and its price has fallen sharply in a very short time, this is something we must be aware of because it can happen in an unpredictable period of time,certain

Hi op,

The two factors that you have included in your thread are affecting the businesses related to bitcoin or cryptocurrencies in general. Legality is definitely a big issue because whe anything is not made legal by the government, people are usually afraid to get their hands into it. That's the case with many businesses aroud cryptos.

But there are many technical factors as well like, slow transaction processing speed, high fees are also affecting bitcoin in a big way. That's why it is mostly considered as an asset rather than a currency. For transaction, many people including me prefer altcoins.

So it's like most other things then?

People and companies are more likely to liquidate assets away from elections to try to keep everything stable. People buy when things fall but you don't want to sell then. Volatility in stocks seems to always increase a bit before an election too.

The major factors affecting bitcoin are :

Change in government - it's simply means when another government enter there's will be reduction or addition of some policies.

Political instability - when political system in the country is not stable, everything will get down.