I think it's very simple.The answer to this question is rather simple and it lies in basic economics: scarcity, utility, supply and demand.
By definition, if something is both rare (scarce) and useful (utility) it must have value and demand a specific price, with all other things being equal.
Take gold, for example. Why does gold cost as much as it does? Put simply, it is relatively expensive because it is rare, hard to find and limited in supply (scarcity). Gold also has some uses to which consumers derive satisfaction from (utility).
The combination of these two elements creates value by which price is determined based on the market’s supply and demand.
Topic: How is the bitcoin price determined? - page 10. (Read 1381 times)
In my opinion Bitcoin price is determined by the behaviour of buyers and sellers. And it may be effected if the economist of the world.
Certain things that affect the price of Bitcoin are of course, for example Bitcoin will be produced in a limited number, the maximum number of Bitcoins that can be produced in the world is limited to 21 million. There is no limit to the price increase or decrease in Bitcoin, there is no upper and lower limit as in central markets, because it is an anonymous digital currency, decentralized, and Bitcoin's transfer is very easy. I think all of this determines the price of Bitcoin.
I have just been recently trying to know how our legend crypto (Bitcoin) price determined. I really need to know more about this. Pls how is the price determined from time to time?
The price of the bitcoin determined based on the transactions of trading made by the person whobare using it. And based on the news I heard last time. The number of person who are using and started using bitcoin affect the productions of it making the vakue of it more higher than before and when dumping it is because they want to manage the value.
I have just been recently trying to know how our legend crypto (Bitcoin) price determined. I really need to know more about this. Pls how is the price determined from time to time?
I don't know actually the right thing why is that bitcoinvalue determined. But all I have to know is that because of the user or the number of persons who are using it. The value of bitcoin depend on the demand of the usage or the number of transactions by the users eavh time. The more users I think the high the value.
I think the bitcoin price is determined by the traders that trade bitcoin against the USD in the various digital markets. Correct me if am wrong
I have just been recently trying to know how our legend crypto (Bitcoin) price determined. I really need to know more about this. Pls how is the price determined from time to time?
The answer is rather simple and it lies in basic economics:scarcity, utility, supply and demand. The combination of two elements: scarcity and utility, creates value by which price is determined based on the market’s supply and demand.
Bitcoins supply is limited. There are currently just over 16.6 million Bitcoin in circulation and the maximum is capped at 21 million. This set cap is well known, making its scarcity transparent. Bitcoin also has undeniable utility even when compared to other, more recent crypto currencies. There is no other digital currency that is more widely used and integrated at this moment. However, Bitcoin's value can not be reduced to just one element or feature. Many aspects of cryptocurrency contribute to its usefulness and offer advantages over traditional paper money and its accompanying systems.
"Everything is worth what its purchaser will pay for it" - Publilius Syrus, (fl. 85–43 BC)
Just like every other financial asset, it is the ratio between demand and supply available that affects the price.
The price really depend on the bahavior of the buyer and the seller, this is how we detemined demand and supply affects also the price of bitclin. In the future the price of bitcoin will surely go even higher since the demand for this are continue to increase.
For starters their is no fair value for Bitcoin. The price of Bitcoin is determined by the demand of the people and how the buying and selling forces agree and settle with a price. We the people who are into trading Bitcoin are the ones who determine the price of Bitcoin that is why it is so volatile because many people are actively trading it to take profit and also the big players are the ones who are controlling it mostly.
I have just been recently trying to know how our legend crypto (Bitcoin) price determined. I really need to know more about this. Pls how is the price determined from time to time?
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