Why Is Bitcoin's Value So Volatile?

[Ngewex Yuk]

Why Is Bitcoin's Value So Volatile? I am confused to buy bitcoin now when it's value is too high.

Maybe it has to do with the volume in the market that is also related with the demand that it is getting. Bitcoin is volatile for the fact that its market price changes everytime. Fluctuations is natural that its value sometimes decrease and sometimes increases Don't be confused into buying and investing to Bitcoin just because its value someimes fall, because its value is as of this moment, is continuously increasing.

An economist was telling me that we even haven't seen anything yet in the value of bitcoin. We are just having some few players heading in and over time, there would be so many development that would make the usage of bitcoin and other cryptocurrency even more useful than just being an asset which would make more people to be aware and see that value at that point as a very lovely thing to get.

With that, volatility will always keep on until maybe we are able to find a balance at some point. However, volatility can never be stopped, cause even normal currencies are.

An expert said that bitcoin volatility will be less happen if bitcoin become more mature and has high liquidity. There are big volume of bitcoin are being trade in exchange, wide scale selling of bitcoin is affect a sharp decline in price. Thats why panic selling is closely related with volality, traders are just want to get profit from their invesment anytime they have chance.

Bitcoin is very volatile because it uses a decentralized system and a huge market share of more than 100 billion USD. Volatile gets people interested in investing in hopes of getting a profit from a price increase someday.

[ThunderCatSteve]

Bitcoin is still in early stages thus its price is related to demand and sepply law. In last months, bitcoin community started growing significantly in result the price went so high. I believe that in next years the price will be less volatile when there will be less traders and more regular users using bitcoin to make daily purchases.

As in its early stages it is attaining so much popularity after some years this coin will surely be the most precious and profitable coin of the world and people ask about is volatility it totally depend on user demand as demand gets high this coin start rising and profit season starts over and as this coin demand gets low its price fall a bit then people buy more to give this coin stability so far btc is impressive in 2k17.

[King Sastro]

As long as there is a dominant owner then bitcoin can be controlled, of course they are people or groups who get profit from rising or falling prices. this is what makes everyone wary that the price increases that occur rapidly then the price will drop with a short time because the speculators are behind it.

[Kurokonobasuke]

Why Is Bitcoin's Value So Volatile? I am confused to buy bitcoin now when it's value is too high.

I think it is volatile in nature since its market value is only dependent with the demand that Bitcoin id having from the market. Suh that if the demand is high, the market value will increase and if the demand decreases the market price of Bitcoin will be loe. So since its value is changing from time to time, maybe same thing is happening to its demand and volume.

[oegarod]

Why Is Bitcoin's Value So Volatile? I am confused to buy bitcoin now when it's value is too high.

Maybe it has to do with the volume in the market that is also related with the demand that it is getting. Bitcoin is volatile for the fact that its market price changes everytime. Fluctuations is natural that its value sometimes decrease and sometimes increases Don't be confused into buying and investing to Bitcoin just because its value someimes fall, because its value is as of this moment, is continuously increasing.

An economist was telling me that we even haven't seen anything yet in the value of bitcoin. We are just having some few players heading in and over time, there would be so many development that would make the usage of bitcoin and other cryptocurrency even more useful than just being an asset which would make more people to be aware and see that value at that point as a very lovely thing to get.

With that, volatility will always keep on until maybe we are able to find a balance at some point. However, volatility can never be stopped, cause even normal currencies are.

An expert said that bitcoin volatility will be less happen if bitcoin become more mature and has high liquidity. There are big volume of bitcoin are being trade in exchange, wide scale selling of bitcoin is affect a sharp decline in price. Thats why panic selling is closely related with volality, traders are just want to get profit from their invesment anytime they have chance.

Bitcoin is very volatile because it uses a decentralized system and a huge market share of more than 100 billion USD. Volatile gets people interested in investing in hopes of getting a profit from a price increase someday.

Yes, based on the decentralization it has been found to be volatile in nature. When years passed the volatility itself has served to be the best feature of bitcoin. If it's is not volatile users could have not gotten the opportunity to earn, because the price will be found stable as well there won't be any difference between bitcoin and our paper money.

[Bitcoinislife09]

The reason why bitcoin's value is volatile is because it is decentralized. It is not controlled by anyone or anything. It depends on the usage of bitcoin by people and how it is being successful. It also depends on the situation or what is happening in the bitcoin. We must continue using it so that its price will get higher.

[dali_masmoudi]

When we say volatility we say Bitcoin automatically because it is being really strange to see the big evolution.
Some says that good currency should be volatile -according to some economy theoremes- but some says totally the opposite because the stability will allows you to have a long term investment with a big win but volatility will give you quick money which will not last long.

[alfs75]

Why Is Bitcoin's Value So Volatile? I am confused to buy bitcoin now when it's value is too high.

Bitcoin value is so volatile  because we cannot control the prices in black chain market.bitcoin price is not controllable because of some many circumstances,like this coming segwit2x hardfork,that most of all transaction have a transparency,that's why we can not predict the proper value of bitcoins,sometimes its pump,and sometimes its dump.

[justspare]

Bitcoin is still in early stages thus its price is related to demand and sepply law. In last months, bitcoin community started growing significantly in result the price went so high. I believe that in next years the price will be less volatile when there will be less traders and more regular users using bitcoin to make daily purchases.

Yes! According to my observations the Bitcoin price is volatile just due to its decentralized nature. Trading of these coins leads to a disturbance in the distribution and demand of digital currencies along with the variations in consumer level. Hence the price faces a decrement stage or the dumping phase.

All we can do is to hope that the prices move toward a little bit of stability in upcoming years by the improvement in total number of users and a decreasing value of Bitcoin trading in international market.

[arlinxoha]

Bitcoin prices are always unstable. Because its price goes up. According to market demand, it increases and decreases. Bitcoin is unstable, so its risk is high. And the profit is much more. So if you are investing in the long-term, then you will feel uncomfortable and will be of great benefit.

[PrinceCaspian]

Bitcoin prices are always unstable. Because its price goes up. According to market demand, it increases and decreases. Bitcoin is unstable, so its risk is high. And the profit is much more. So if you are investing in the long-term, then you will feel uncomfortable and will be of great benefit.

The demand is one of the big player here because that is the only reason why the price of bitcoin is moving down or up and because of the demand it can easily dictate the price of any kind of coin. If the people will get attracted to the positive and advantages of bitcoin then there will be a huge pump in the price and that will benefit all the bitcoin users for sure.

[aeternus]

Everyone knows what fiat money is and use it daily since his childhood. They see that all the others use it also every day and everyone speaks about money and you can buy things for it everywhere and the public press also speaks positive about it. That results in a relative constant demand with low swings.

Bitcoin is exactly the opposite! It is new for many people, they do not use it daily, they did not learn about in the school, the banks also do not offer it and the public press mostly do not promote it. If there are negative reports in the public press then many people get feared and try to sell and that is why there are so huge swings!

This is why, it is important to remember that bitcoin is still on its early stages and its developing, once bitcoin becomes accepted worldwide by a great number of people then the volatility of bitcoin is going to go lower as more people begin to use bitcoin for its original purpose as a currency while right now bitcoin is mostly used as an investment.

[BlueStackz]

Why Is Bitcoin's Value So Volatile? I am confused to buy bitcoin now when it's value is too high.

The basic principles of marketing is with high demand and low of supply then the value will increase this simple concept will explain your entire question. There will be no accurate predictions if you want to know when the price will rise or decrease it will always be depends on the flow of the market.

Yeah, you are right. When you talk about the increase and decrease of prices for bitcoin, then you surely have to see all these rules and your observations should be based on logic. Like you said, it is totally logical and according to the business rule.

Bitcoin is non predictable and prices are just shooting up and down just according to supply and demand rule, it will more high.

[trickyriky]

Yes the BTC rate may smoothly grow or fall a bit - this happens when players can buy Bitcoins. The extreme fall or rise of this crypto indicates that exchange was attended by players who have huge assets behind them. These people can raise BTC cost to maximum.

[Lynchfondu]

Bitcoin will always be volatile. It's a cryptocurrency whose only real driving force is popular support, which drives demand. If popular support dwindles, so will the price. Sure, institutional, even state support (Japan) for Bitcoin is encouraging, but as a daily medium of exchange, it's difficult to see it winning over a majority of the population. It has value, no doubt, but the extent of its value is difficult to gauge at this point. It's a speculator's dream! The biggest up and downswing of Bitcoin? Expectations.

[tj4dmx]

bitcoin and the word Volatility go hand in hand,even though one could think it could be because bitcoin is still a small and growing market.

[craZyLovE0916]

Bitcoin's value is not volatile at all. It is getting less volatile each year and it is now actually less volatile than any other currency or asset that exists today. It just has a different market cap and there is not that much volume in the market, but that was at the beginning, now there is more money coming into the market as less coins are available which is why you're seeing the price act this way.

[Gabb]

Unfortunately bitcoin has become an object of desire for the big speculative capitals that do not think twice to play with the price of bitcoin to get the best possible profit. But I hope that sooner or later, when the market matures over the years, these big swings disappear and we can enjoy a more stable and less volatile environment.

[iv4n]

Bitcoin's value is not volatile at all. It is getting less volatile each year and it is now actually less volatile than any other currency or asset that exists today. It just has a different market cap and there is not that much volume in the market, but that was at the beginning, now there is more money coming into the market as less coins are available which is why you're seeing the price act this way.

Sorry but you are wrong, just month ago price dropped from 5000 dollars to 3000 dollars, now its over 7000, how do you call that? I don't know for any other currency or an asset that raised 800 dollars over night, that happened few days ago. Market cap is all bitcoins together x price in this moment, higher price od bitcoin makes cap higher. Price is rising due increasing demand or some good news, speculations, price can also be pumped and that is manipulation, and yes bitcoin is vulnerable to manipulations.

[UchihaRukawa]

Why Is Bitcoin's Value So Volatile? I am confused to buy bitcoin now when it's value is too high.

I don't know the main reason and I am also wondering why bitcoin is so volatile, but I think, it is because of the bitcoin users. Lots of people are buying and selling everyday and I think it greatly affects the stability of bitcoin, but no matter what the reason is, I like the way that bitcoin is very volatile, it helps traders have the advantage.