Bitcoin Forum

I guess the reason why bitcoin has a stable price is because miners are mining sometimes or even stop mining at all. The supply of coins freeze and the price would definitely freeze to. Correct me if im wrong but i really believe mining and the price are linked. If one stop moving then the other one will follow.

Most of the time the miners see and wait for bitcoin to soar higher in the previous year, there needs to be positive activity on the bitcoin market so that the price rises rapidly

I think that the level of public trust is the thing that most influences the maintenance of Bitcoin prices. The price of Bitcoin is so very stable at this time because of the balance between the demand factor and the supply. That is something that cannot be avoided because each coin must have a characteristic and what is owned by Bitcoin is a very good trust from the public in the world today.

Mining is a one part of the price fixing but real giant is trading. Because Bitcoin value is fixed by supply and demand so both are important in the value. Nowadays mining platform is little down so trading is occupy 75 percentage of market. So circulation is little protect the price fluctuation and panic selling is increase the price variation. My choice is traders are control the value.

First things first... Bitcoin has a stable price!? I what universe!?

Mining never stops. Just look at the stats: bitcoin price went from 20k to 6k and the hashrate has gone form 13 to 50 EH/s (that's EXA hashes per second, 10^18...).

Mining doesn't provide a fresh supply of coins. That's just the incentive to actually do it. It processes transactions. If all miners stopped there would be no confirmed transactions and the price would go to zero. But they won't stop. If someone cannot afford to mine because of the low price, and the someone else too... Sooner or later it's going to be profitable for someone to continue mining.

What we have seen happen is that the growth of the mining network slows down in the bear market. But only after a year or so of declining prices.

If anything mining follows the price. Not the other way around. And the effect is far from immediate...

The price of bitcoin is quiet not stable, simply because it can change easily. If miners stop from mining, then the price of bitcoin will not become stable, because everyone will panic if that things happen and the price will dump. Well, stable price of bitcoin is really what we want maybe in the future we will see more stable market.

I dont see any miners quitting besides small miners. Big miners are mining still and waiting. They are improving their equipment with new generations of asics and continuing operations.

Correct. I think we are the point at which the network won't experience ridiculous amounts of growth anymore while the price isn't doing anything other than jumping up and down within the $6000-$7000 levels. By now the majority of those who ordered their hardware during the bull run last year have received everything and their hardware is up and running now.

It's good for the miners to have a relatively stable difficulty development during a market that's not willing to go up. There has only been one difficulty decrease this year, which was 3.45% back in Juli, but 14 days after that the difficulty jumped back up with nearly 15%. It ain't easy being a miner. One day you're counting your profits during a bull run with a thick fat fee reward on top of it, and the next day you're back into reality hoping for the price to go back up.

Do you realize that Bitcoin's blockchain in entirely public, so anyone can go and test your statement by analyzing the blocks data. There's nothing like what you have described, there are not huge gaps in block times that are outside of standard deviation. Also, if miners wanted to decrease supply, they could have just hodl their coins.

The market is getting more saturated at this time there is no big thing to encourage everyone to believe in the sustainability of prices that will rise again, prices are still volatile but little by little, so do not underestimate the ongoing price because it will increase without us knowing and indeed I agree to You are above, the miner is always alive trying not to stop to get something valuable, it's wrong if you see people have stopped to get Bitcoin, a miner costs a lot to buy equipment so they will use it as much as possible under what circumstances also, this is a friend's test.

Bitcoin doesn't have a stable price and miners are there to confirm those transactions.

Small miners would stop to mine if they find it no longer profitable to them to mine but to the long time miners, they just can't stop. If ever majority of them will stop, a new batch of miners will come in to take the advantage that's being passed by those miners who stopped.

Freeze? what do you mean by this? is it like this, when people HODL(freeze) their coins, price will stop? no.

Then the other one will take over.

The mining process didn't stop and will not in the near future. What make the price relatively stable is the supply equal to demand. If the mining activity will cease then a new era for bitcoin will start.

I never think it in this way but I just got some understanding after reading this thread.  Mining actually affect the bitcoin's price movement.  Cryptocurrencies market is a wonderful market that we keep on learning everyday.  I have invested into bitcoin an makes some money from it last year and that is when mining activities were high and I believe that this year it is stable because of the same mining activities too.

The market is just in equilibrium to the demands and supplies which is good, for  the mining community, it seems that bitcoin price is making it's move slowly but surely, because previously the price will pump and immediately dropped down due to some  correction which is for me not good.

I already heard such statements going around about the relationship between price and bitcoin mining. It says that for miners to be able to profit or at least breaks even the price should be around $6K but I'm not sure if this theory sounds plausible though. Did miners pump the price if bitcoin goes below $6K, or it is the whales who really pump the price and doesn't want to get it below $6K?

Unless though we have definite proof about the price relationship, this is just another theory and be included in the mysteries surrounding this crypto sphere.

It is stable because it doesn't move hourly, give it some time. Bitcoin doesn't move for weeks and than moves 10% in an hour quickly, it is not a constantly moving price deal, it moves maybe 5% at max a day but normally if you are expecting 15% or something that doesn't happen every day.

If you think moving 5% a day is stable than when you get stocks that moves 0.1% a day most of the time than you will go crazy. It is said that if you miss out on 20 days in the past 20 years of stock market movements you are missing out making profit, just the most profitable 20 days of stock markets make it profitable to be invested for the past 20 years, if you miss those days, you might as well never invested.

I kinda disagree with what you said.  I do believe mining somehow have effect on the prices but.. miners does not stop mining and the supply never freezes, remember bitcoin have a constant supply in every blocked solved until it halved.  It will take another century for Bitcoin to stop giving reward.

I think bitcoin price is tanking because of several reasons and one of which is the adoption of every country, the legalities issue that if approved will boost the people getting in to Bitcoin. So in short, it is not the miners but rather the adoption of people.  Remember market price is driven by supply and demand. 

The price of Bitcoin is not stable and its not related to miners. Are you saying that the miners stop mining when the price is at $19,800 before and now many of them are mining because the price is just $6,000? Prices of the commodities will always depend of supply and demand including Bitcoin which is the real demand for now is low.

the price is stable right now because a lot of people (you included) who have invested in bitcoin have no idea what bitcoin is and how it works. the only thing they knew when they bought bitcoin was the fact that price was rising and they had a hope for a huge profit out of this "thing" they bought.

if these people started educating themselves about how bitcoin works and what it really is (so they don't make mistakes about basics such as "miners stopped mining"!) then they would have been buying this unique and full of potential decentralized currency instead of letting the whales be the only ones accumulating at these low prices then buy when it went up already.

Would rather agree unto this since at the moment we can see that their are several upper trend and sudden low trend, and by this I cannot call it stable since at that state, But I also think on when does the huge demand will came "IF THAT ONE WOULD REALLY CAME" since many people still thinking about the bull run to come.

The thing is, trading is never 100% objective. It's your money, so it's up to you to make the decision, even if you can listen to "advice" by looking at the comments of others on the forum, it must be your analysis that tells you to decide to invest or not.
So nobody can tell you "we have to invest in here or there", the best advice is "I feel there is a change of trend on X, a resistance on Y", etc.

Stopping mining does not effectively increase the price of Bitcoin, but miners have always been closely associated with Bitcoin! When no miners sell Bitcoin, the price of Bitcoin will definitely rise!

I really do not know where you are seeing the stable price from in this case ?

The price has been fluctuating pretty much, right from the onset, and still doing that. Mining is just one piece of the technical puzzle; it is not like it certainly affects so much in the market.

Most of the times, I would say it is actually the price of the market that affects mining in the long run, as it may not be considered profitable and some may bail out, with the hash rates dropping and then those who are in get to have more incentives, that is just the way it works. So, there is nothing stable here, neither does mining affect price in anyway.

The level of stability of bitcoin depends on the level of investor confidence, if there is no negative news, maybe bitcoin will stabilize.

There is no such thing as a stabilizing price for bitcoin even though there are times that we could see that the price is not moving at all it is still not stable it only occurs because the value doesn't have a much fluctuation right now and I think it is not moving down because we already hit the Floor of bitcoin, Even if there is negative news bitcoin will never become stable not a chance can that really happen.

Apparently, small miners as long as the condition is no longer favorable for them will always be the ones to quit and in this kind of unfavorable condition, we are talking about low prices, but in the long run for those who are really not looking at the short term, they really would not have to worry much.

For instance, if the price drops far below $6000, a lot of speculation going on shows that it becomes non profitable for miners, and then we will definitely see the smaller ones leaving for that moment, and the bigger ones, getting the pay for confirmations they do as the difficulty drops.

The price of bitcoin is not going to stabilize, that word means no fluctuations the market price is steady and bitcoin's value movement is the opposite of it, look at the charts every day it is like a pumping beats of a heart, we can't almost predict when would be the biggest movements is going to hit, the absence of negative news has an impact as it can highlight minimal positive news to the market.

I think its stable at the moment because it dropped a lot in the last mounths and nobody wants to sell at that price so I dont see bitcoin going much Less than 6k, thats my personal opinion and I think it makes sense. I dont know if mineros influence that much.

To add up an idea about that mate, this situation we encountered right now on its stable price had been manipulated by some group of traders. Their buy and selling of crypto is one of their ways on how to create attractions from other new comers. Sadly it's not bringing good effect to us, because it will pull down market value and yet more will be dumping coins if this continues to happen as well.

The market will never become stable, the price is always moving because it was depending on demand and supply, that is the reason why we should be always patient about the market prices.

Small miners would stop to mine if they find it no longer profitable to them to mine but not a big miners.. they look for a long term perspective and they can not stop mining. Because if they will stop digging, they will have more minus than long-term digging.

Bitcoin price stability occurs because many people believe in the future of bitcoin. So they sell and buy in a balanced manner.
Because basically that when a coin gets an increasing demand factor it will be very good for the development of Bitcoin.

Uh the reason why it is currently somewhat more stable that usual is because we are at the end of the bear market at the bottom of the market and we're at the beginning of the momentum shift from bear to bull market. Look at the end of the last crash in mid-2015, same thing happened, stabilized for a bit at the bottom of the market as it slowly turned around and began the next climb. That cycle was slower so we probably won't experience months of relative stability this time, but I could see September and October being relatively stable in price and then November and December we start seeing the first evidence of Bitcoin breaking out of the bear market and forming higher highs for the first time in a year.

The people will inverse their capital in implementation of Mining setup. It's like inverse money in business. Do you think any person will end their business by the minor loss.They won't .They will try to recover their old loss with the upcoming deals .So only the people with small mining setup can close and the rest will hold for the upcoming profit.

Bitcoin doesn't have a stable price at all.And even if it seems to be stable,it is only for a very small duration and also a small variation seems to exist at that price also.Miners have nothing to do with stability of bitcoin price.

You're completely wrong.

Bitcoin miners simply don't go on a hiatus. Even if one miner goes down due to maintenance or whatnot, there are thousands of other pools and individual miners/mining farms that are working round the clock to verify transactions.

Mining simply doesn't pause, and the supply of bitcoin will continue to go up as soon as a new block is mined, even though that has no apparent short term affect on bitcoin prices since the block rewards are so low compared to how many bitcoins are already in circulation.

What makes bitcoin prices stable at this stage is because of the bear market. We're finding a bottom at $5-6k and prices are consolidating, there is nothing related to mining whatsoever.

The more I think about it and the more I believe the pending news regarding the ETF makes the current price stable. I was actually expecting more speculation but looks like I was wrong.

But as usual TA also can explain a few things. Big resistance around $6700 and another resistance at circa $7100, and a support just below $6000. We could remain in this range for a while, unless ETF.

On the contrary, reduction of bitcoin mining should increase the price. The supply decreases and the price increases accordingly. In fact, stopping mining doesn't have much impact on the price. Only human psychology affects the price.

The price range of bitcoin seems to go on stable thos 2018 but I would like to believe that before the year close probably in the mid of November the price will soon rise again. The market seems to go an a stable and safe place this year but the bull didn't hit yet. I really feel something will happen in few months from now so I keep on holding and keep on investing if I could.

If demand is increasing it means that people are investing in the Bitcoin right now the value has declined so we take it as the demand rate has decreased. We will see many ups and downs in the value of Bitcoin due to change in demand rate or you can say demand and supply rule affect of price. If price gets stable then you must know that market support is strong and perfect right now which has made it stable.

We can see thousands of transaction that is happening everyday and definitely a complete transaction. Mining never stops and I doubts this is the cause of the stable price. Preferably by now, you heard about this correction which I think could be one of the many reasons why it was stable for a couple of months.

Generally by the end of the year Bitcoin price rises significantly. Last year was an exception and I doubt we will see such price again but if it could rise to 10k$ then we will see positive trends next year.