Bitcoin Forum

i'm new to the bitcoin community so i'm just very curious about what causes the prices to sometimes skyrocket but then drop really low so quickly. Thanks

It's similar to stock market where everything depends on speculations. Like the recent drop was because China introduced new regulations due to which some of their exchanges like BTCC shut down and the price rise earlier was because of Hard Fork news that made the price go up by almost 40%. Bitcoin is a highly volatile currency due to this.

The main reason any investment rises or falls is supply and demand. More supply,ie coins available,and the price drops while more demand,lrss coins available and the price rises. It is the reasons for the change in supply and demand that must be found eg at the moment the news of actions in China.

Supply and demand has little to do with these recent price changes, these are mostly based on recent events.
More supply or demand is the end result of these changes, but they're not the cause.

Bitcoin is highly speculative at this point, so any news will have a significant effect on the price.

One of the characteristic features of the crypto currency is its high volatility, that is, the ability to dramatically change the rate. You need to get used to this and take it easy. Crypto currency is not guaranteed and regulated by the demand and supply of the market. It is greatly influenced by various external factors, such as recent events in China.

To increase the value or decrease the value of bitcoin is common in bitcoin. but this can happen if there are things happening in marketing. I still think looking for bitcoin because bitcoin is just like buying a stock. learn to buy stocks with the smallest value first. hopefully the value of bitcoin will again become stable and can provide benefits.  ;) ;)

There could be couple of basic reasons just like stock market where the prices move up and down. Yes in it bitcoin too we have demand and supply elasticity. Also another factor could be due to the global news if its favorable it will rise else it will fall just recently when China had ban ICO we have seen a drop in prices. People who hold huge amount of btc as a institution or private players can move the market to an extent as per their requirement y either selling or keep buying the coins which will lead to price rise.

I think one of its main factors why bitcoins price skyrockets is mainly because of the news about bitcoin or any update about bitcoin; and of course the supply and demand of the coin.

First rule you have to learn and accept is that Bitcoin is volatile by nature and you can't avoid that. On smaller or biger volatility influence the ratio of demand and supply, so the situation on the market but also some external factors like recent happenings in China or hard fork. It's actualy similar influence like it could be affected fiat currencies or stock exchange.

Bitcoin is a speculative asset. Market get largely affected by news. When there is a negative news as happened recently with China's ban, Jamie Dimon speech etc, people get panic and usually dump the price. But such dumps are short lived. Similarly when there is a positive news in market, price shoots as happened during Segwit activation. Also when demand is high, price skyrocket as happening in 2017. But along with the natural increase of price, there is a minor pump that is why a correction always takes place aftee touching ATH which reduces the price.

News is just a factor which takes bitcoin to its users but for price change adoption, supply and demand will determine completely. I see again bitcoin price is started increasing from the past 5 days. If bitcoin price volatile every hour you please utilize the time and buy some bitcoins.

The value of a bitcoin is tied to the laws of supply and demand, expect it to move upwards regardless of the current downward trend. If something is both rare and useful,  it must have value and demand a high price, with all other things being equal.

This event sure is normal now Bitcoin fluctuation is cause by many factors, the supply and demand, GOOD and BAD news on bitcoin, the panic selling of many users or a lot is investing with bitcoin that is why the price skyrocket sometimes, but this kind of situations you can surely take advantage of them and you can make it all a positive thing for you, because investor wants a fast progress sometimes.

because of the negative feedback of those billionaires and because of this very sensitive China government for banning bitcoin in their country but don not worry bitcoin will never be taken down.

Ultimately it comes down to the activities of bitcoin users who are buying and selling. There is no "price" of bitcoin. The prices you see listed on websites is normally an average of current prices being paid. You or I might want $10,000 per coin. However no one is going to pay that when others are selling lower.

This average price is constantly changing and can have large swings when lots of people want bitcoin, or want to sell bitcoin. Commodities like gold behave similarly.

Cryptocurrency generally depends on supply and demand. Recently there was a lot of negative news about bitcoin that caused people to panic and sell their coins, this then caused the price to drop. Then because the price was low, a lot people took the opportunity to buy, this then caused the price to increase.

First of all I would like to welcome you on this bitcoin world and answering regarding on your question.Price of bitcoin is volatile and you should really get used to it and those price movements does really depend on supply and demand thing on which it is just a simple economic class and you would able to understand why do it behave like that but this movements is the best waves for trader or investors to make money with it.

before anything about the bitcoin price or news you are wellcome here 
bitcoin price change because china has banned the ico and after month china will banned some exchage

This question was answered a hundred times before. Newbies should read more than being lazy enough to just post everything they want to know. You can learn everything here. Please try reading more.  
I will still give you some easy answers. Prices are affected by supply and demand..bitcoin has limited stock. I
More in demand (many are purchasing it) the lesser the supply of bitcoins. The higher the worth it reaches.

The collapse of bitcoins is connected to what's happening around. And of course the rising price is also connected. As recently as China has banned the ICOs and its result was Bitcoins stinging at $ 500 just a few hours after it was announced. And then their plans to stop the Exchanger in their country have resulted in the fall of the bitcoins of nearly $ 1,500. But it has passed and has been answered. Slowly the price of bitcoins is rising and returns at a price of 4,000 $

This is a complicated question about the bitcoin price it may be increase or decrease but from the past experience there are countinously increase in the bitcoin price in future it countinously increases

Bitcoin price ups and for last week.China want to ban ICO and bitcoin. 20% bitcoin Use in china and most bitcoin mining in china.So Bitcoin price ups down and hope bitcoin will be heat 5000$ soon.

There's some basic reason behind the change of price. Recently when mighty china banned the ICO its price drop. Bitcoin's value depends on supply and demand. You may not aware about it but its price start increasing again.

It was because of some bad news going around lately and because China has banned bitcoin but do not worry that much bitcoin will surely rise up again

You need to get familiar to the words pump and dump. Pump and dumping basically caused change in supply and demand. Pump means the stage of keeping on buying, where dumping means the stage of "dumping" that is selling your coins. Pump decreases supply and dumping increases supply which caused the price to rise and fall. Investors dump when you want to exit with their profit. The price falls down, and new investors come and starts pumping the price.

Bitcoin price are volatile one of its characteristic it is like in the stock market that it is base on speculation and event happening on some country. The price drop las last week because of chinas banning of ICO other are the speech of jpmorgan ceo that bitcoinn is a fraud, now it pumps up because of the hard fork that theybsaybit will increase about 35 to 40%... But you need to read more about bitcoin you can check some article from google or read some thread in the child board. Best regard to you pal

Like the experts said "Law of Supply and Demand" It measures the activity of the bitcoins on how many or how much it spent, sell or trade to other commodities. Also hoarding to much bitcoins can affect the inflation and deflation on its value. But i believe that bitcoins still raising up to it's peak.

With all the love for bitcoins, it is worth acknowledging that bitcoin jerks from any noise. China closes exchangers and the exchange rate drops. A new fork is being made and the rate is growing. Moreover, I did not find any good analytical obscuration on Bitcoin 2.0 (a new fork).

Now the US has collected a commission on the analysis of the Crypto-currency. And no one knows what can affect the course.

If many businesses start using bitcoin, then the rate will become stable. But now this is not.

I really think the price of bitcoin is not gonna become stable, bitcoin fluctuate much and it works that way even if the price was steady at the moment wait for it and it will somewhat move again, and because of the high demand right now, you can certainly see that the price rising and dropping is due to the good and bad news bitcoin has receiving so it is pretty normal even in the stock market you can always see this kind of stuff.

There are some causes why bitcoin didn't stay for a awhile in a value. . Cause of some reason that depends also in market situation which is the more using of the currency the more of chances that its keep rising its value cause as iknow it depends also in the market rate . And some reason also why bitcoin has a volatility attitude beacuse of the china . They decided to banned some of the ICO and aslo affect on the bitcoin value. in the past week it has a deeper drop but as of know its gaining more strength.thats are the reasons why bitcoin keep volatile its value..
And i hope that there are no more issues  emerge that can stop bitcoin and reach our predicted  value as well

The main reason to its price change is attraction of user to it, as investors are investing properly on daily basis price will stay up as investor got panic by some rumors and start selling this will bring down the values and it will not be helpful to both investor as well as to bitcoin so advise to investor is stay calm and keep investing profit will be yours.

Bitcoin is a very volatile thing, the price surely can raise so drastically though in a short period of time. The most important factor is supply and demand, then market sentiment and the created FUD. In China’s case yesterday was the news that created market sentiment then created a very large FUD and eventually increased supply and reduced demand in a greater scale.

Hello author! Creating this technology and bitcoins was an awesome idea it very very smart thing but as usual humanity can destroy anything and kill all good things in our world! Humanity can fast to convert something positive in negative and crypto-chain it's not an exception. This market under total control and somebody play their funny games which make awesome volatility and be sure crytocurrency never will be stable! We just need be ready on any scenario

yes that is a fact that a lot of reasons are there which are in fact responsible for increasing the price of  bitcoin. but i think that the main reason is the interest of the people, If people will continue their interest in bitcoin trading then its price will also continue increasing, The other reason  which is also responsible for the increasing in the price of bitcoin is that bitcoin is decentralize currency and its users are present throughout the world which is also causing the increasing in the price of bitcoin.

Bitcoin's price is known by its volatility, it is going down and up with time, but generally its rising highly since a while until now. There is many factors make the price up or down, but it is in general linked to the market , the supply and the demand and so on.
You have to deal with the fact of price's volatility, and make your plan about holding.

Let's call it pump and dump in short.Supply is the sell orders which created by market participants to sell on best available price.Demand is total buy orders accumulated by market participants.

It depends on how people spend their bitcoins. If people see bad news about bitcoin in media they will immediately sell it for a lower price than the market so the market price also drops. If people see good news about bitcoin they will buy more because they know the price will go up. When a lot of persons buy bitcoins in the same time the price go up.

There maybe several reasons, if bitcoin prices go up I think has to do with a very high global market demand.
for bitcoin prices are down, this is as I explained above but if the price drops means low market demand

It should be recognized that the crypto currency has a high degree of volatility. On its rise and fall affect the various news on the world market. Such as recent news about the ban on the circulation of crypto currency in China. However, I do not see anything wrong with this quality. It has quite a good effect on the activity of trading on the market.

In crypto sudden uptrend and dips are very common. There are quick traders that dump their positions right away depending on what their chart analysis says. We also got news that can really shake the market and since bitcoin is revolutionary where governments and banks cannot control they will try to say something negative or control it. The most important thing here is education. Most crypto people are futuristic and avid fans of technology and innovations.

Bitcoin’s value is dependant on the intensity of demand and supply there is. The demand is a market factor. The intensity with which the market needs the commodity fuels the demand aspect. Supply however is a limited factor within the Bitcoin economy since the number of bitcoins there can exist within the network is limited to 21 Million.
There isn’t any actual set price for a Bitcoin. The price of Bitcoin is a balance between what price someone is willing to trade with to part from the Bitcoin.

Most of the times the price changes are due to so many circumstances, like news and other stuffs related to rumors and issues, investors who are behind those big quantities of trades, or those bag holders, while some are because of those groups that are behind the pump and dump issues. You need to be aware of those things before you join this community, and mostly you have to control your emotion as needed for you to survive this economy.

bitcoin price always change is because the demand and supply, as you know bitcoin is just 21 million for all people in the world and when more people buy bitcoin price will increase because bitcoin will be an antique thing.

Bitcoin have loads of early adopters who bought 1000's of coins at very cheap prices. These guys are called Bitcoin Whales. Some of them are working together on different markets to manipulate the price in their favour. They use their cash reserves that they have built up from previous sales to slowly push up the price < as a unit > and this triggers other people to start to buy. < anticipating a breakout price >

When the price reach a specific target price, they start to dump their coins to take some profit. < So they start buying low and then they sell at a higher price > ^smile^

Bitcoin being a decentralized currency,its price is determined by the value the buyer is ready to pay.In other words,its price either increases or decreases as per the increase and decrease in demand for it.but earlier,when china had a dominating position in bitcoin market,its price was mostly manipulated by chinese investors by dumping their huge volume of bitcoins at once.Also,big whales spread FUD in the market to make new investors panic and they rebuy those bitcoins at low price.

But now,chinese manipulation is not possible since bitcoin has users world wide.Now,mostly FUD is responsible for high fluctuation in bitcoin price.

it is not new to that kind of happening
we all know that bitcoin's behavior is pumped and dumped every time if there will something happen that is related to CRYPTOCURRENCIES
and the law of supply and demand and also like what happen to china last month where the bitcoin loose its price to 3.5k USD
and we all also know that bitcoin will recover blazing fast like a month I think
4825.01 US Dollar is the current price now yesterday it was 4.2k USD see how much and it hit the mark of 4.5k USD amazing ;D ;D ;D ;D

that is the one disadvantages of bitcoin its unstable behavior in charts
the law of supply and demand occurs in every time the more the user the more the coins will go the more user holding.
the rare the coins the higher they price

about going down if there is something happen like china did where if it is related to crypto it will also affect

There are ways in which the price of bitcoins increases and sometimes falls. It is a demand for demand so the price of bitcoins is increasing. And when it comes down to panic selling is called it. Because people are forced to sell because they are losing money if they just let them.

Wow! Today, Bitcoin around $4840 on Bitstamp.  :o
I do not think, it will ever fall under $4000, even if any panic happen.

The weak point of bitcoin - it's traded on many exchanges.
When a whale or investment fund manager come with big order, can easily influence the price.
I observed that scenarios at Bitstamp in September, when sell orders of 200 BTC or higher dumpened the price by $100 in five minutes.

since there is really no central agencies that can control bitcoins price therefore you can only look into the demand and supply as the main factor which causes it either to go high or fall.
it doesnt really matter if all countries will ban the use of bitcoin in their countries as long as there are people who are willing to engage in bitcoin then it will continue to thrive..
:D

Just an addition to the many reasons regarding price changes in Bitcoin and other Crypto currencies. still a newbie but i noticed before when other investment drops in stock market like gold, oil etc due to many causes, some investors tend to pull their investments and run to Crypto thus resulting to a high demand. But now on the contrary, the recent nuke testing of North Korea also contributed to the pullbacks of BTC in the previous months, clearly stating that there is no safe place for our investments when a big player manipulates everything.

It follows the law of supply and demand, as most stuff do. The reason why it's incredibly volatile, though, is because there is no central body that can manage the price. It's a completely free market, and it's completely up to the people to price it. More users should also mean less volatility.

Bitcoin's price rally is based from:
1. The normal bitcoin price chart.
2. Some manipulations from the big whales.
3. Price adjustments vs Alts.

During price rally, I usually sell all my Alts to BTC, because alts tend to dump for more than 40%. So what I did is to buy it from the bottom.

if the bitcoin price goes up of course it is due to its increasing use and then if
bitcoin prices down in my opinion it is because of the issues there that make the bitcoin price down

bitcoin price change or why bitcoin price up and down so simple method to explain theory of supply and demands if dimands is high price also high if dimands low then price also low

When there is a shortage of supply then there is a huge effect while there is more supply then the demand goes decrease or the prices goes high then the demand goes decrease. So it’s depend on product too that how much it’s cost.

Fluctuating Bitcoin prices have become a daily complaint of Bitcoiners around the world. there is one factor that influence the rise and fall of Bitcoin prices such as the small volume of Bitcoin spread across the network

The value of bitcoin depends on how people support and hold the coin,  when the bitcoin has the large stock on market then surely the value decreases, when it is so low supply in market of bitcoin then it means the value will goes high
The more investment in bitcoin the higher the value so if people will not support the bitcoin then the value will gp down.

there are actually quit a lots of factor involved in this.
1.Infulance of some government like their legal support on it.
2.any hard fork happening in future or not.
3.any special event like fifa world cup comming on of not.
4.Any big statement from a big bank ceo about bit[Suspicious link removed]d or bad.

So basically all this news controls the pump and dumps.

It's true that bitcoin prices are mainly due to demand of it.And demand is greatly affected by a lot of events, like for now,bitcoin price has decrease which is mainly due to ICO band in China.Because of the band also of the band, some people are scared to buy bitcoin.

I don't think a sensible person would complain about the volatility of Bitcoin, because it doesn't do any harm to you as long as you know how to use it positively. Of course if you panic by seeing the price dropping and sell all your coins you will sit regretting it later on, but if you be patient, buy a little more if you have funds, and wait for it to rise again, you will have your returns eventually, and you will not need to complain about it.

To OP, the price of Bitcoin depends on the market movements, i mean the trades. It all depends on supply and demand, where if the supply is less and demand is more, it increases, and when the demand becomes less, the price decreases to an extent.

Bitcoin price is really changing. It is not constant. There are so many reasons why this is changing in such ways. The main thing about this is the volatility of the market. The market of bitcoin is volatile that makes the price changing over time. Next one, are the FUDS. In FUDS, this is one of the reasons why bitcoin is dumping. When we say dumping that is the downfall of bitcoin. And the forks, After forks I think the price will go up wildly.

bitcoin has a high level of volatility and has a fairly good effect on its trading activity.if people see good news about bitcoin, they will buy more,because they know the price will go up, and the price of bitcoin is the price balance of someone available on the market or on different markets, for a price that benefits them in the future.

Especially when there's a new coin which is being forked. If it's just a change to Bitcoins code then I don't see the price going up that much. But people get excited about having free coins such as Bitcoin gold. Which creates a upward spiral in terms for value.

Hi OP, welcome to the world of crypto currencies.
Regarding to your question, bitcoin value varies on the demand of it, like for example if people make more investment then they have to buy bitcoin so the demand is increasing the value increases too. So the more investors the bigger the value of bitcoin we can have. Thats one simple way of looking at it.

Bitcoin price changes because of its open exposure to the market. Treat bitcoin as an stock available in a stock market, the more the market demands and buy bitcoin, the higher it gets. And since bitcoin is becoming more popular today than ever, you'll notice that there is an extreme increase in price value. The community itself is a complete factor of the bitcoin's tendency to fluctuate and it all depends on how much bitcoin is exchanged and bought.