Why Bitcoin Is So Volatile - page 2.

dx_twisted

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Quote from: ASHLIUSZ on April 15, 2018, 02:21:59 AM

Governments indicate volatility to be one among the negative factor and fluctuate the market.

It only causes a negative feel because of the fact that they are not being regulated, its market value can be manipulated by those people who are in capable to transact at a higher volume. Also, another reason why the government warns people to take precautions is because of Bitcoin being digital, which is a clear sign that it may only be temporary as no physical sign to support that it will not fluctuate gradually, and the fact that it can be a tool for money laundering schemes.

bohr

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Quote from: Bagaji on April 09, 2018, 03:40:35 PM

Bitcoin is so volatile because it has not reach its real value yet and at the same time its demand is increasing on a daily basis because it is a new form of currency that is yet to be accepted world over.

That is another reason, bitcoin has the potential of being extremely valuable and when you look at the potential price of bitcoin and at its current value you see that there is a big difference and until bitcoin does not reach its potential then the price still will move very abruptly, so the only thing we can do is to wait for the day in which bitcoin is adopted all over the world and hope that the volatility goes away.

HiringYou

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Bitcoin is known for it's volatile nature.Sometimes the price is low and sometimes the price is high so these fluctuations are quite common in case of Bitcoin.Bitcoin is type of cryptocurrency which is affected by even a small statement due to which it's price get affected.Whenever a country takes a decision about Bitcoin whether it is a postive one or a negative one,it effects the price all over the world.For example when China banned Bitcoin, a huge drop was seen in it's price.That JP Morgan's statement about Bitcoin also affected the price.Recently we saw a drop in the price when India banned Bitcoin.This is because such decisions make investors to sell or invest more in Bitcoin which further affects it's price.These are the reasons due to which Bitcoin is volatile.

XCANA

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Bitcoin value is so volatile because of so many factors such as government ban on ICO activities, not fully adopted by all countries, forces of demand and supply and other related factors that usually affect Bitcoin price positively and negatively.

ihsanskanzaone

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because bitcoin prices are influenced by how much market demand will be bitcoin if the demand is large then bitcoin prices will go up and vice versa. bitcoin prices also tend to be unpredictable due to very fast price changes so you are expected to quickly observe bitcoin market share to predict the rise and fall in bitcoin prices.

Btcwashu

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Quote from: ASHLIUSZ on April 15, 2018, 02:21:59 AM

Being speculative is the real reason that causes volatility in the value of bitcoin. Governments indicate volatility to be one among the negative factor and fluctuate the market. Users who have been into bitcoin and has experienced the goodness feel volatility to be the best of bitcoin.

Bitcoin presents a variety of opportunities that did not exist prior to its development. Yet, it has failed as yet to convert investors concerned about its potential rate of adoption as an alternative currency.

Here are just a few of the many factors behind Bitcoin's volatility:

1. Rate of adoption is hampered by bad press.
2. Bitcoin's perceived value fluctuates.
3. Too much variance in perceptions of Bitcoin's store of value and method of value.
4. Little option value to large holders of the currency.
5. News about security breaches make investors react.
6. Bitcoin’s high profile losses at are another driver of volatility.
7.Bitcoin and foreign direct investment in countries with high inflation.
8. Tax treatment of Bitcoin also affects the volatility.

ASHLIUSZ

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Being speculative is the real reason that causes volatility in the value of bitcoin. Governments indicate volatility to be one among the negative factor and fluctuate the market. Users who have been into bitcoin and has experienced the goodness feel volatility to be the best of bitcoin.

LongerBitcoin

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Quote from: tylerderden on April 13, 2018, 03:27:34 PM

Like any other crypto currency Bitcoin is also volatile in nature. And there are many factors influence its price and make it more volatile in nature. Mainly negative news spread by media and different regulatory statement given by many government put an a negative affect on the investors and make it more volatile. Another factor which influence its price is its production and distribution. Due no central control authority their is no stability in its production and distribution and this thing create an bad impact on its price. Like this their are also other factors which influence its price. Embarrassed

It is the natural facts that when the demand is high and the supply is less, the price will grow and when the demand is less and supply is more the price will fall. The same is here is bitcoin. That is the main reason of the volatility in the price. Volatility also affects the market value and importance of bitcoin.

ICOcapital

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Quote from: biascoin on February 10, 2018, 12:38:53 PM

https://www.forbes.com/sites/jayadkisson/2018/02/09/why-bitcoin-is-so-volatile/

Worth the reading.

cliff notes?

luckyluigi

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Who actually knows, huh. But I will say, if we would like to use bitcoin in a common life, as a payment method, it needs to be more stable after all.

Aladdino

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It still takes very little time circulating to control its volatility, when more people invest will begin to settle and that is when you can see the fruit of a whole mind as it is the creator of this potential virtual currency that is almost considered a commercial asset.

Fedrey

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Quote from: tylerderden on April 13, 2018, 03:27:34 PM

Like any other crypto currency Bitcoin is also volatile in nature. And there are many factors influence its price and make it more volatile in nature. Mainly negative news spread by media and different regulatory statement given by many government put an a negative affect on the investors and make it more volatile. Another factor which influence its price is its production and distribution. Due no central control authority their is no stability in its production and distribution and this thing create an bad impact on its price. Like this their are also other factors which influence its price. Embarrassed

the network has a lot of information that large whales have thrown a large amount of Bitcoin onto the market. This, in turn, sacked the market and provoked Bitcoin's big offer on the market.

tylerderden

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Like any other crypto currency Bitcoin is also volatile in nature. And there are many factors influence its price and make it more volatile in nature. Mainly negative news spread by media and different regulatory statement given by many government put an a negative affect on the investors and make it more volatile. Another factor which influence its price is its production and distribution. Due no central control authority their is no stability in its production and distribution and this thing create an bad impact on its price. Like this their are also other factors which influence its price. Embarrassed

ooeygooeygold

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well i guess that's the biggest asset of bitcoin today, it is like the reason why bitcoin is now on the top of almost all currency that uses in this world. it is volatile because no government manipulate the price and all people holds it.

TTITA

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It has limited supply that make it volatile. With less supply around 3M Btc less that can be mined from network and distributed into market, of course the fluctuation will going to more happen. There is none party that controlled Bitcoin fluctuation, although pump-dump activity by some groups is often done, but all of them will end when there is panic selling or panic buying taking on market.

varun bee

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while the article came out in feb and i am writing this in april, i cannot ignore the sort sightedness of the article so, one of the heading in the article reads that "Institutional Investors Are Staying Away" which leads me to post this link https://www.newsbtc.com/2018/04/09/george-soros-turning-bullish-on-cryptocurrency-is-all-part-of-the-bigger-picture/ and also https://www.newsbtc.com/2018/04/08/soros-rothschild-big-institutional-investors-entering-bitcoin-market/ is i think shows us that everything written in forbes should not be taken as a gospel and every time mainstream media tries to pull their little stunts with some edgy journalism, it looses portion of its credibility.

maarx

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cloverdex.io

Pumps and dumps are common with crypto currencies. One of the reasons would be of insufficient supply of bitcoin in the currency market. Bitcoin are being held now with the investors as it would lead to loss if they sell them. So the market is being in silent then roaring up. I am sure if the bitcoin price reaches $9000, we can expect last December's environment around crypto. Just relax a bit. This is the right time to invest more if you have. If not hold back the coins you already have to take a great return.

LeonardRiggort

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The price of Bitcoin can also change drastically as countries and financial institutions adapt to the idea of cryptocurrencies. For example, when the largest banks in South Korea tested the technology, its value increased. On the other hand, when China announced its plans to take measures against the ICOs (a crowdfunding or collective financing based on cryptocurrencies) without complete information, its value decreased. The same happened when a South Korean government official said the country could ban cryptocurrencies altogether.

holden4591

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Because Bitcoin has no intrisic value. Despite any other companies, cryptocurrencies don’t create a products, earn revenue, employ thousands of people or even return dividents - Because of this is it really hard to value them, we often rely on market sentiment which is influenced by the media. Also it's because of lack of regulations.

Qungis

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Bitcoin is very volatile because many large investors use it as a speculative tool. The more volatility, the easier it is to earn.

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