What are the major factors that affect the bitcoin price?

[shiki3226]

One of the main factors affecting the price of bitcoin and generally, the rest of cryptocurrencies would be the supply availability for bitcoin.

[ThorWin]

the latest news I know yesterday mtgox has sold a lot of bitcoin so yesterday bitcoin prices dropped below $ 8k.

BTC supply too much, perhaps investors fear the BTC will collapse. As such, they will lose money, so they decided to sell them out of the market, thus reducing the BTC price over time. If everyone holds the BTC price will go up to the moon in the future.

[ynclksnr321]

At the beginning of the factors that influence on bitcoin, I think the approach of the states and the state of the stock exchange. Positive views of the states or, on the contrary, insecure situations that live in the stock markets can make the bi-directional bitcoin effective very quickly. Besides, I think that panic sales also have an impact.

[Searing]

Right now mt. gox has to move 1.4 Billion USD of BTC out on the liquidation, IMHO by the end of the year...( I can't see the trustee not getting paid

for the liquidation, because he did not get this wrapped up soonest!) That is about 250 million sold BTC a month or some such...giving him time

to wrap it all up by Jan 1st, 2019...

I just can't see them NOT wrapping this up and waiting longer than that for their 3rd year is it.....they got to move the coin..again, IMHO

So, add this with the regular FUD and we are likely to be lucky to even see the price between 7800 and 8500 now

ugly, ugly

[kendedese]

I think the number 4 most influential on bitcoin prices, because bad news can make investors panic sell and there will be a lot of bitcoin sales so that bitcoin prices will go down.

[ufaiz50]

Literally the four things that affect the bitcoin price is true, but in modern times where we can easily access the news, so I think the main thing that affects bitcoin prices is news, many fuds that make users frantically especially new users, this happened a few months ago, not just in bitcoin alone but other cryptocurrency

[kmil91712]

[...]

Factors that affect the price of Bitcoin include:
1) Supply & Demand - At a basic level, the price movements of any cryptocurrency will be driven by its availability. The scarcer a digital coin is, the higher its price levels. In contrast, a virtual currency with an abundant supply will likely experience lower price levels.

[...]

You omitted looking at the Demand side of things, which by itself can be broken up in 2 factors

i) Community -- The larger the community behind a cryptocurrency, the more people involved, the higher the demand. Bitcoin's community has vastly grown over the years.

ii) Availability -- The ease of buying a cryptocurrency. While exchanges are currently overwhelmed with verifying new customers, it has never been so easy to buy cryptocurrencies.


On a higher level I would also add Trustworthiness: The more people trust in a cryptocurrency, the less prone they are to panic selling, making for a stabler market.

I was also thinking along the lines of demands too but in general, by breaking into two categories like you did it makes me see it from another perspective.

[Cinemo]

Bitcoin is the first most popular digital crypto-currency whose price is influenced by a wide range of factors. Ideally, the bitcoin price is normally expressed as the exchange rate of the bitcoin in relation to other currencies. With an upsurge in the adoption and usage of this digital currency, the demand for bitcoins has significantly increased in the recent past.

Factors that affect the price of Bitcoin include:
1) Supply & Demand - At a basic level, the price movements of any cryptocurrency will be driven by its availability. The scarcer a digital coin is, the higher its price levels. In contrast, a virtual currency with an abundant supply will likely experience lower price levels.

2)Mining Difficulty - In the case of proof-of-work blockchains such as Bitcoin, the mining difficulty of a coin can also have a direct relationship with its price. A higher mining difficulty means that it is harder to mine an additional unit of a coin. This can have an impact on a coin’s perceived value, and subsequently its price, as increasing a coin’s supply will require more computing power to be used in the mining process.

3)Utility - A key factor that will affect a cryptocurrency’s price movement is its perceived utility. A virtual currency that possess no practical use will likely be viewed as having no value, which may be reflected with lower market price levels. For example, Ether’s price movements can be attributed to its perceived practical utility, that being a user’s ability to build and launch their own decentralized applications on the Ethereum platform

4)Market News - Market News can also affect a coin’s price movements. Positive or negative news reporting can be a heavy influencer of general market sentiment regarding a particular coin. Media reporting about a network hack for example is likely to drive prices down, whereas, coverage about a coin’s increasing adoption can result in positive market sentiment that drives a coin’s market price upward.

Hope this helps a little! Happy bitcoin-ing!!! 

the main factors of bitcoin even in other cryptocurrency is Government. i know that well cause government can interrupt the doings in bitcoin. government can stop bitcoin doings everywhere. in every country. i wish that bitcoin will not be ban on our country philippines cause i know we will have a good economy

[genixye]

The government's attitude determines the direction of bitcoin prices.

Although blockchain technology is the direction of development, if the government denies bitcoin, its price will fall sharply.

[Geleve]

well i believe that rumours are the one of the main things that affect bitcoin price. rumours are coming from some twitter accounts and telegram channels or with some fake news in sites.

[1Referee]

Right now mt. gox has to move 1.4 Billion USD of BTC out on the liquidation, IMHO by the end of the year...( I can't see the trustee not getting paid

for the liquidation, because he did not get this wrapped up soonest!) That is about 250 million sold BTC a month or some such...giving him time

to wrap it all up by Jan 1st, 2019...

I just can't see them NOT wrapping this up and waiting longer than that for their 3rd year is it.....they got to move the coin..again, IMHO

So, add this with the regular FUD and we are likely to be lucky to even see the price between 7800 and 8500 now

ugly, ugly

You assume that they will be sold through the regular channels, but that doesn't have to be the case. BitFlyer is a large exchange having plenty of large clients all willing to make a deal off the regular market, often referred to as OTC trades. The MtGox trustee's job is done and over with enough cash in the bank, so what is there left for him to do with the coins? It's up to the authorities to take things to the next level now.

Currently there are ~138,000BTC left which at current levels of around $8300 means $ 1,145 billion in asset value (without BCH). No one is forced to move anything, so if the authorities don't see any point or benefit in doing anything with them, they will stay right there for plenty of more years. Imagine them using these funds to settle an international deal in Bitcoin with another government. Japan has definitely the lead in everything related to Bitcoin, so it definitely wouldn't surprise me.

At the end of the day, it strengthens their financial position to just keep holding them, especially with the potential growth in mind. And if the coins will ever get sold it means we have no longer anything to worry about since they only have a limited number of coins. Eventually they will run out. It's not a fiat press that keeps creating value out of nothing.

[tilabial]

Every exchange transaction that involves the selling of bitcoin, i.e. exchanging for fiat or another cryptocurrency causes a downtick in the price of Bitcoin. Let us consider the last example listed above, namely usage of the Bitcoin network as a means of money transmission.

[SixOfFive]

Another very important point that affects the Bitcoin price is the Bitcoin users and developers. Trust factor plays a crucial role in cryptocurrency environment. In spite of several other Altcoins being developed with more superior features than Bitcoin, it is still the most valued currency because of the trust the community places on the currency. The latest advancements and innovative efforts in technology also have the power to influence the price of Bitcoin.

[Vaskiy]

These days the negative things and the regulations around the globe making a big impact upon the price of bitcoin. At every price drop there is a negative news, which easily make the user community into a dilemma whether to proceed further while whales manipulate it as an opportunity to shatter the price.

[kloinko1n]

Another factor well-nigh which this people victimisation crypto currency acceptance did not say.

[musdafakfl]

Bitcoin is the first most popular digital crypto-currency whose price is influenced by a wide range of factors. Ideally, the bitcoin price is normally expressed as the exchange rate of the bitcoin in relation to other currencies. With an upsurge in the adoption and usage of this digital currency, the demand for bitcoins has significantly increased in the recent past.

Factors that affect the price of Bitcoin include:
1) Supply & Demand - At a basic level, the price movements of any cryptocurrency will be driven by its availability. The scarcer a digital coin is, the higher its price levels. In contrast, a virtual currency with an abundant supply will likely experience lower price levels.

2)Mining Difficulty - In the case of proof-of-work blockchains such as Bitcoin, the mining difficulty of a coin can also have a direct relationship with its price. A higher mining difficulty means that it is harder to mine an additional unit of a coin. This can have an impact on a coin’s perceived value, and subsequently its price, as increasing a coin’s supply will require more computing power to be used in the mining process.

3)Utility - A key factor that will affect a cryptocurrency’s price movement is its perceived utility. A virtual currency that possess no practical use will likely be viewed as having no value, which may be reflected with lower market price levels. For example, Ether’s price movements can be attributed to its perceived practical utility, that being a user’s ability to build and launch their own decentralized applications on the Ethereum platform

4)Market News - Market News can also affect a coin’s price movements. Positive or negative news reporting can be a heavy influencer of general market sentiment regarding a particular coin. Media reporting about a network hack for example is likely to drive prices down, whereas, coverage about a coin’s increasing adoption can result in positive market sentiment that drives a coin’s market price upward.

Hope this helps a little! Happy bitcoin-ing!!! 

First of all, I thank you for the subtitles and details you gave. In addition to what you wrote, I would like to add the reasons for whale moves and panic sales because these two factors are one of the two major problems we often face. So if you add these factors in your own message, you are satisfied.

[soul-impact]

The factors that affect bitcoin are the need for investors to bitcoin. Legality of botcoin. The economic development of a country also affects the bitcoin value.

[TanteStefana]

They are also news, worldly leaders decisions, countries regulations, whales, emotions and etc. everything does make a difference.

[Finestream]

They are also news, worldly leaders decisions, countries regulations, whales, emotions and etc. everything does make a difference.

Yes they are all factors that totally affected bitcoin price.But i think it's more on supply and demand and those media pressures that will totally changed btc price instantly.Panic selling is also a major factor since its decreasing the number of investors due to uncontrolled emotions by some people who cannot overcome their fears and decided to jump on panic selling.

[kive2k]

I think the price depends on demand, popularity on bitcoin. News and announcements about bitcoin play no small role. Another price may well depend on holders of large assets.