Bitcoin Forum

The price of bitcoin is formed exclusively by supply and demand for it. Bitcoins are not secured by any tangible assets, but the same situation is with any Fiat currencies, rubles or dollars. It is wrong to assume that bitcoin is provided with electricity spent on its mining or the cost of a bitcoin farm. The difficulty of solving the cryptographic problem during mining varies according to the network hashrate used to find the latest 2016 bitcoin blocks. If the number of miners and the electricity consumed fall several times, then the complexity of mining will simply decrease and the process will stabilize again. So the value of bitcoin and its purchasing power lies only in the public's trust in it.

Yeah, agree with you. But unfortunately the price of bitcoin is formed not only by supply and demand. It also manipulated by whales and big players. There is no pure and fair game in it. Definetely it will grow up in future.

Or based on what the public perceives as the value of 1 bitcoin is, not necessarily their trust in it. Let's admit it, there aren't many people left here believing that bitcoin will be successful. In truth, they are just trusting other traders to do the first move and just ride on those waves to get profit, but not necessarily vest their trust on bitcoin in the process. Miners are also trusting the speculators to make some moves in order for their mining ventures to be profitable. The trust goes to the traders ultimately, not the miners and certainly not bitcoin itself.

I think the value of bitcoin is to help the baleful people, so therefore their are so many people who used bitcoin because they believe that they are also achieve their goals through that.

Perception is one of the most important change effect too. The last hype was learning of what is bitcoin. But now next perceptional hype will implementing blockchain technology to real life.

The value of bitcoin in its technology and the faith of the crypto community.

Now the whales are selling their cryptocurrency and the market is falling. The ICOs is to blame for this, which deceived investors.

Obviously there is no pure game in the bitcoin trade, the price-determining whale that I believe so far, big traders always swallow small traders by creating erratic volatile market conditions

Yeah, like many say here the value of bitcoin is technology, supply and demand and great deal of manipulations. The situation might change somehow in the future but there is nothing we can do now.

The price of nothing is formed exclusively by supply and demand for it. Gov is not secured by any tangible assets and we believe 100% in them.

take a balance. Put on one site all BTC arguments. Put in the other any other comparable thing, tell me how it looks?

 

As is true for everything. The price of absolutely all things is decided by nothing more than supply and demand and a large portion of that is public perception. If everyone suddenly believed that banana's were going to cure all illnesses and provide ever lasting life, the price would increase astronomically, irrespective of if it is true or not. People believe it.

Bitcoins price is influenced largely by demand and supply, and demand and supply is influenced by all other factors associated with bitcoins. So basically, when the network is running smoothly people build faith in the technology and are are willing to buy, but when there is a chink in the chain, panic reigns.

And also this is nothing like fiat currencies. There is a delegated sector which supports and regulates the worth of national currencies

Almost all top altcoins or bitcoin that has a high volume in the market are all being controlled by the whale investors, just like what is happened into XRP a couple of weeks past, same goes with Bitcoin as well. There are lot manipulators in the market, and this things can't be gone anyway. I think it is already a part of their strategy anyway.

I agree. Early on I learned a lot about how little I knew about money. Money really only needs two things. It must be hard or impossible to counterfeit, and it must be seen as valuable. Gold is just a shinny rock and dollars are just fancy paper. It is our common belief that allows us to trade these valueless things for items of real value.   

And you believe this is different with stocks? They are controlled by a small group of board member who together are the majority shareholders. This means that even if you were able to gather up all the other public shareholders you wouldn't be able to dictate anything or change company's policies. With Bitcoin you have the advantage because even if whales sell their stocks the technology will still be there. It will lose most of its value but it won't disappear. If the board decides to shut the company down it disappears.

Not the same. The price of bitcoin is indeed determined by what people are willing to pay for it when they are trading (not the best kind of demand and supply, but still). Fiat price is determined by the regulatory authority that sets the price and makes sure that it's under control regardless to what's going on. As for bitcoin purchasing power - unfortunately, I don't think it's appropriate to talk about it for now. There aren't many places where one can pay with btc. And are there are places that determine the prices not by converting the fiat price into bitcoin one's? It's too dependent and too unstable for now.

in my opinion, the value of BTC depends on public demand responded by mining. then a transaction will be processed in each block and the hash mined.

the impact is variable transaction costs. sometimes expensive and cheap.

yes, I agree with you, the value of BTC is formed by a public trust, USD is also determined by market demand, but the volatility of BTC and USD is not the same.

BTC volatility that created by the traders can make people get rich quickly when bullish cannot be controlled, but someone will become poor if the decline is difficult to control.

I think that the main thing in cryptocurrencies, the main one of which is Bitcoin, is decentralization and the desire of people to get a real independent, reliable modern means of payment.

I agree with your argument but three basic things determine the value of bitcoin viz:

1. Actions of whales and big players in the bitcoin market

2. The trend of demand and supply of bitcoin and

3. The faith players in the market have for bitcoin.

Surely, the value would pick up again. Hopefully, towards the end of first quarter of 2019.

I add again that the 3 aspects will be stable and survive if you avoid panic, and panic comes from fake information.

so, maintaining market and public stability from fake news is a very important aspect.

BTC value depends on demand and inventory. but, decentralized made BTC able to survive from the geopolitics and the world financial crisis.

the value of BTC will be even greater in the future, when demand is high and inventory is low.

Definitely... but it does not only depend on the public's trust. It entails the deeper understanding on the whole concept behind blockchain technology. The world needs to embrace this new technology and adapt to meet its revolutionary changes and advancements. The value of bitcoin strongly depends on how people really understand the whole principles behind bitcoin and cryptocurrency.  

I think that btc is a coin with the best value, to my mind, it is better to use btc secured by something. I have btc coins and keep them with the help of hard wallet, i think it is better to use it a bit later

 The real value of Bitcoin is dependent on the production cost after mining. Yes, it all affected by supply and demends and others contributory facts on pricing Bitcoin. Market Volatility on the market  show a lot more concerns this past few days... we've seen the ups and down on the price value... but in my opinion Bitcoin secured by yhe Blockchain system.

bitcoin value can be predicted now but as we have this technology it is clear that bitcoin is highly valuable and the whole crypto as a whole crypto volume is increasing day by day and bitcoin is secured by the independent authority and this all is associated with the internet.

I want to add that the price depends on public demand only when there is a positive news background, for example, as in 2017, bitcoin was officially recognized by Japan or when there was a hard fork in agvust. It is backed up from the economic side very much.

The value of bitcoin is based on supply and demand and is secured only by our interest and trust in the technology. 

There is no commodity weights behind it. So, it is secured only by support and demand. Though the same may be said about some traditional money.

the value of bitcoin cannot be predicted because the market price is uncertain and many have decreased. Bitcoin can go up in price with a lot of it, maybe up to tens of millions.

The value of bitcoin can be best described in dollar which is around $3200 at the moment. Well there is really not security associated with the price of bitcoin

the community that pushes it thats bitcoin value security,

and the exhaustion globally with the banking cartels

That's the case in most of the currencies, for example the dollar is no longer backed by gold since many years ago, so we can say that its value is given by a large number of people who trust in its stability and the little circulation that there is in the market, at the end of the day that's what matters.

I think the dollar, the euro and the pound sterling are more focussed on people’s opinions on the banks (commercial ones) who artificially increase the amount of currency that exists (the government controls very little of this process). Google fractional reserve banking for more information...

Bitcoin is, like gold, more based on the will of the people. Governments started good by having things backed by gold and silver, it’s a shame we can’t go back to those days...

In terms of security, I believe that bitcoin needs an improvement to it and when it comes to the value of bitcoin is still inconsistent it depends on the demand of mining in a country. Many of the investors are relying on the mining industry for the improvement of pricing of bitcoin.