Topic: What must happen so that cryptocurrencies are less volatile? - page 3. (Read 2691 times)
Crytal votality can be stopped if there is no supply and demand that occurs on the coin. The price will stop at a certain point and wait for a big transaction to move the votality. You might be wondering why the bitcoin is going up ?? Or why it can happen ?? It's all because of the difference of supplay and demand .. if not balanced .. then there is a significant price ups and downs on the coin
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Bitcoin :open immutable decentralized global fair
ALL THE CENTRAL BANKS AROUND THE WORLD STOP ISSUING FIAT AND KEEP SUPPLY STATIC FOR FIVE YEARS STRAIGHT.
if fiat stabilizes for many years globally, then prices of everything else will stabilize. If not, then the central banks are playing money games and acts of war.
These games have been constantly played by central banks and they never cease to stop - pitfall of humanity.
...atleast (the sound) cryptocurrencies offers an option outside of this evil system.
if fiat stabilizes for many years globally, then prices of everything else will stabilize. If not, then the central banks are playing money games and acts of war.
These games have been constantly played by central banks and they never cease to stop - pitfall of humanity.
...atleast (the sound) cryptocurrencies offers an option outside of this evil system.
The answer to this is quite simple. The larger a market is, the less volatile.
Why? Because there is more money invested overall, which reduces the ability of any one individual from affecting it a lot.
For example, even a multimillionaire can have zero effect on the NASDAQ or other stock markets, but a multimillionaire can have a HUGE effect on crypto markets - especially altcoins.
Yeah I do not know why this is so difficult to understand also we need to take in consideration that bitcoin is a completely new concept and this makes the early years of a technology a roller coaster so the only thing we can do is to wait for the day bitcoin becomes less volatile. Why? Because there is more money invested overall, which reduces the ability of any one individual from affecting it a lot.
For example, even a multimillionaire can have zero effect on the NASDAQ or other stock markets, but a multimillionaire can have a HUGE effect on crypto markets - especially altcoins.
Volatility will decrease when the crypto-currencies are accepted, but this will reduce their price and interest of the majority of users who use them as investments because of a rapid price increase.
When bitcoin go mainstream the volatility will reduced. For example you can see how bitcoin cash went up as high as. $1000 on second of august 2017 because of the activities of pumping group. Manipulation activities couse the volatility we are seeing now. When capitalization is high and professional investors start to invest in bitcoin the volatility will reduce.
Bitcoin exceeded the price of $ 3,000 and now not under any circumstances will not fall below. When you compare bitcoin with other crypto currencies do not forget that bitcoin is a currency completely different level and credibility above and is a pledge of stability.
bitcoin is famous for being volatile since then and also bitcoin is a decentralized currency that's why bitcoin would never be stable it will change it's price value every second pass because the global market is so huge that's why you can't tell who's buying and selling bitcoins. expect that this year before it ends we can see a $4000 don't be shock if the price of bitcoin dump this coming november.
If as your opinion, the price of Bitcoin will dump after complete SegWit in November 15th, is right? And Bitcoin will repeat the scenario of Litecoin after SegWit, falldown in short time and comeback with new high price 
What would it take?
Does the volatility settle if certain amount of merchants accept payments in crypto? Or should there be more people that would get paid in crypto? OR should there be a cryptoeconomy where people and businesses get income in crypto and spent the crypto?
Furthermore, could the volatility be even solved? I mean of more and more people are getting into Bitcoin, when would such demand cycle cool down?
I would like to know the economics behind it.
Does the volatility settle if certain amount of merchants accept payments in crypto? Or should there be more people that would get paid in crypto? OR should there be a cryptoeconomy where people and businesses get income in crypto and spent the crypto?
Furthermore, could the volatility be even solved? I mean of more and more people are getting into Bitcoin, when would such demand cycle cool down?
I would like to know the economics behind it.
Short term stability is not everything. If you really wanted stability then you could just use fiat currencies, but they are only stable in the short run. In the long term they are going to crash in value, guaranteed 100%. Bitcoin is volatile in the short term but it is actually predictable in the long term.
Yes, volatility can be solved. Simple solution is exactly what you said in the OP - more merchants accepting it. But they can't accept bitcoin as just a payment processor. Tehy need to actually ACCEPT bitcoin. Like not through Bitpay, but it goes straight to their wallet, and their price doesn't change when bitcoin price fluctuates. When this is achieved then bitcoin will become stable, naturally. You don't need no central bank for this to work.
Plus, a lot of people only trade cryptocurrencies and hold it because it is so volatile. It's become a part of what cryptos are, in my opinion. Without it a lot of people would actually leave the crypto scene because a lot of traders use it as a hedge against safer investments so that they do not miss out on huge profits on a daily basis, if there was to be an opportunity for trade.
bitcoin is famous for being volatile since then and also bitcoin is a decentralized currency that's why bitcoin would never be stable it will change it's price value every second pass because the global market is so huge that's why you can't tell who's buying and selling bitcoins. expect that this year before it ends we can see a $4000 don't be shock if the price of bitcoin dump this coming november.
to if we want to use bitcoin as currency in our local area and for buying selling everything then its need that bitcoin have a stable price. and i think that bitcoin price can only become stable when majority of the people of the world start using bitcoin and bitcoin become as normal currency and we start it as normal currncy for everyting we want to buy online as well as in local shops.
Bitcoins are currently being accepted by many merchants. If you going to ask them, all will say that volatile bitcoin is better than stable one as it allows them to earn much more than market price. Also on other hand they are able to keep bitcoins as reserves which is more effective than keeping hard money as reserves.
What would it take?
Does the volatility settle if certain amount of merchants accept payments in crypto? Or should there be more people that would get paid in crypto? OR should there be a cryptoeconomy where people and businesses get income in crypto and spent the crypto?
Furthermore, could the volatility be even solved? I mean of more and more people are getting into Bitcoin, when would such demand cycle cool down?
I would like to know the economics behind it.
Does the volatility settle if certain amount of merchants accept payments in crypto? Or should there be more people that would get paid in crypto? OR should there be a cryptoeconomy where people and businesses get income in crypto and spent the crypto?
Furthermore, could the volatility be even solved? I mean of more and more people are getting into Bitcoin, when would such demand cycle cool down?
I would like to know the economics behind it.
I think yhat an ideal scenario would be if the world continued its trend and almost all retailers can accept the currency and there is a deep and healthy understanding between the market and the consumers then that would make the btc a little bit more stable and be able to provide some comfort to us.
What would it take?
Does the volatility settle if certain amount of merchants accept payments in crypto? Or should there be more people that would get paid in crypto? OR should there be a cryptoeconomy where people and businesses get income in crypto and spent the crypto?
Furthermore, could the volatility be even solved? I mean of more and more people are getting into Bitcoin, when would such demand cycle cool down?
I would like to know the economics behind it.
Does the volatility settle if certain amount of merchants accept payments in crypto? Or should there be more people that would get paid in crypto? OR should there be a cryptoeconomy where people and businesses get income in crypto and spent the crypto?
Furthermore, could the volatility be even solved? I mean of more and more people are getting into Bitcoin, when would such demand cycle cool down?
I would like to know the economics behind it.
I think yhat an ideal scenario would be if the world continued its trend and almost all retailers can accept the currency and there is a deep and healthy understanding between the market and the consumers then that would make the btc a little bit more stable and be able to provide some comfort to us.
I always think about the Maize farmer story I have been told when I was young. We had a very rich maize farmer in our country and he started with 1 farm. He was very successful and consequently bought more farms in the surrounding area. In the beginning the price of maize was determined by the supply of say 5000 farmers in the district, but as this successful farmer bought other farmers land, the number of farmers in the district decreased.
His 5 sons started to farm and they also started buying land in the district, until they owned almost all farms. Now they were in a position to manipulate the supply of maize to the market. They could plant less maize to hike up the price or hold back the maize in Silos.
This is happening with Bitcoin now, some Bitcoin whales < early adopters > are owning the majority of the coins. So they can manipulate the price, based on the demand and how they supply or hoard coins. < The same thing are being done with other commodities like Oil >
The solution will be to increase adoption to put coins into other people's wallets. The more coins are distributed to more people, the less opportunity there will be for whales to manipulate the exchanges. ^smile^
His 5 sons started to farm and they also started buying land in the district, until they owned almost all farms. Now they were in a position to manipulate the supply of maize to the market. They could plant less maize to hike up the price or hold back the maize in Silos.
This is happening with Bitcoin now, some Bitcoin whales < early adopters > are owning the majority of the coins. So they can manipulate the price, based on the demand and how they supply or hoard coins. < The same thing are being done with other commodities like Oil >
The solution will be to increase adoption to put coins into other people's wallets. The more coins are distributed to more people, the less opportunity there will be for whales to manipulate the exchanges. ^smile^
crypto must be volatile so we can earn on short term and long term
if we look at long term it will go just up
why?
becouse of worldwide adoption and using crypto in real life
so it's the begining and we will invest in begining
in 5, 10 years we will be rich
Wrong, Bitcoin must be distributed to as many people as possible. Bitcoin will benefit more, if there are a huge demand for it and demand will only be stimulated if people want to buy it. Merchants will only support it, if people are using it regularly and if only a few people own/hoard it, there will be no need for them to support it.
Bitcoin is not only about trading and profits and higher prices. Bitcoin also help people to be their own banks and gives them entry to the global financial system. < Previously, poor people were excluded and blocked by centralized financial systems >
Bitcoin also makes global remittance a lot cheaper. < Disrupting services like MoneyGram and Western Union > This puts more money into poor people's pockets. ^smile^
I always think about the Maize farmer story I have been told when I was young. We had a very rich maize farmer in our country and he started with 1 farm. He was very successful and consequently bought more farms in the surrounding area. In the beginning the price of maize was determined by the supply of say 5000 farmers in the district, but as this successful farmer bought other farmers land, the number of farmers in the district decreased.
His 5 sons started to farm and they also started buying land in the district, until they owned almost all farms. Now they were in a position to manipulate the supply of maize to the market. They could plant less maize to hike up the price or hold back the maize in Silos.
This is happening with Bitcoin now, some Bitcoin whales < early adopters > are owning the majority of the coins. So they can manipulate the price, based on the demand and how they supply or hoard coins. < The same thing are being done with other commodities like Oil >
The solution will be to increase adoption to put coins into other people's wallets. The more coins are distributed to more people, the less opportunity there will be for whales to manipulate the exchanges. ^smile^
His 5 sons started to farm and they also started buying land in the district, until they owned almost all farms. Now they were in a position to manipulate the supply of maize to the market. They could plant less maize to hike up the price or hold back the maize in Silos.
This is happening with Bitcoin now, some Bitcoin whales < early adopters > are owning the majority of the coins. So they can manipulate the price, based on the demand and how they supply or hoard coins. < The same thing are being done with other commodities like Oil >
The solution will be to increase adoption to put coins into other people's wallets. The more coins are distributed to more people, the less opportunity there will be for whales to manipulate the exchanges. ^smile^
crypto must be volatile so we can earn on short term and long term
if we look at long term it will go just up
why?
becouse of worldwide adoption and using crypto in real life
so it's the begining and we will invest in begining
in 5, 10 years we will be rich
I always think about the Maize farmer story I have been told when I was young. We had a very rich maize farmer in our country and he started with 1 farm. He was very successful and consequently bought more farms in the surrounding area. In the beginning the price of maize was determined by the supply of say 5000 farmers in the district, but as this successful farmer bought other farmers land, the number of farmers in the district decreased.
His 5 sons started to farm and they also started buying land in the district, until they owned almost all farms. Now they were in a position to manipulate the supply of maize to the market. They could plant less maize to hike up the price or hold back the maize in Silos.
This is happening with Bitcoin now, some Bitcoin whales < early adopters > are owning the majority of the coins. So they can manipulate the price, based on the demand and how they supply or hoard coins. < The same thing are being done with other commodities like Oil >
The solution will be to increase adoption to put coins into other people's wallets. The more coins are distributed to more people, the less opportunity there will be for whales to manipulate the exchanges. ^smile^
His 5 sons started to farm and they also started buying land in the district, until they owned almost all farms. Now they were in a position to manipulate the supply of maize to the market. They could plant less maize to hike up the price or hold back the maize in Silos.
This is happening with Bitcoin now, some Bitcoin whales < early adopters > are owning the majority of the coins. So they can manipulate the price, based on the demand and how they supply or hoard coins. < The same thing are being done with other commodities like Oil >
The solution will be to increase adoption to put coins into other people's wallets. The more coins are distributed to more people, the less opportunity there will be for whales to manipulate the exchanges. ^smile^
What would it take?
Does the volatility settle if certain amount of merchants accept payments in crypto? Or should there be more people that would get paid in crypto? OR should there be a cryptoeconomy where people and businesses get income in crypto and spent the crypto?
Furthermore, could the volatility be even solved? I mean of more and more people are getting into Bitcoin, when would such demand cycle cool down?
I would like to know the economics behind it.
Does the volatility settle if certain amount of merchants accept payments in crypto? Or should there be more people that would get paid in crypto? OR should there be a cryptoeconomy where people and businesses get income in crypto and spent the crypto?
Furthermore, could the volatility be even solved? I mean of more and more people are getting into Bitcoin, when would such demand cycle cool down?
I would like to know the economics behind it.
I think the more countries like Japan and South Korea legalize Bitcoin as their national currency and would have foreign exchange reserves not only in USD but in Bitcoin also, then we could expect less volatility in Bitcoin currency.
If there was no FUD and good news, there will be less volatility, but because we are in the internet. Bitcoin is built to volatile against stocks.
Crypto is volatile because anyone with a decent amount of money is able to influence the market a lot. Adnd by decent, I am talking about sometimes just $5,000 or less. Altcoin markets are often very low volume which can be influenced greatly.
As for Bitcoin any multimillionaire can still have quite an effect on the global price. Top exchanges see $10,000,000-30,000,000 USD in BTC/USD volume daily. If a huge whale wants to sell his Bitcoin that he bought back in 2010, well, the market will go down 5% from this happening. Likewise, if someone were to buy $1,000,000+ worth of Bitcoin you best believe the price is going up a percent or two on any exchange.
Until there is mass adoption and multiple hundreds of billions of dollars in market cap, Bitcoin will continue to be volatile (let alone other cryptos!).
As for Bitcoin any multimillionaire can still have quite an effect on the global price. Top exchanges see $10,000,000-30,000,000 USD in BTC/USD volume daily. If a huge whale wants to sell his Bitcoin that he bought back in 2010, well, the market will go down 5% from this happening. Likewise, if someone were to buy $1,000,000+ worth of Bitcoin you best believe the price is going up a percent or two on any exchange.
Until there is mass adoption and multiple hundreds of billions of dollars in market cap, Bitcoin will continue to be volatile (let alone other cryptos!).
More information and confidence so less people day trade and risk losing their money.
The lack of regulation makes cryptocurrencies susceptible to speculation and manipulation from whales.
Pretty tough for many people keep holding at the moment when price dives.
The lack of regulation makes cryptocurrencies susceptible to speculation and manipulation from whales.
Pretty tough for many people keep holding at the moment when price dives.
Volatility of cryptocurrencies, especialy bitcoin, probably can't be avoided. Numbe of bitcoins is limited and market is under influence of different factors, it's also very sensitive so all that affects the price. It could be stable for a while but not on long terme because sooner or later the balance will be interrupted. But if there wasn't volatility how would traders make their profit and that is one of the most attractive features of cryptocurrencies.
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