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Author Topic: why bitcoin is volatility?  (Read 1895 times)
Nboramir
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May 20, 2018, 11:44:44 PM
 #161

There many reasons for bitcoin's volatility. For example, it's volume is not much comparing to Dollar or gold. Also, there are many speculative good or bad news, and these news have great importance for Bitcoin price. A news can cause a pump or dump.
stayeduptolate
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May 22, 2018, 08:58:29 AM
 #162

Why bitcoin is votality compare to fiat money. Many say bitcoin is not a good investment because it is votality.

What is votality?
liability to change rapidly and unpredictably, especially for the worse. this is the fast price change.

Why is the votality of bitcoin high?
Bitcoin is a low supply at the time of its growing number of users and it has become a demand for the masses. Many want to buy, Many want to sell in easy-word multiple transactions. When many bitcoin transactions are fast market movements and we do not know what might happen because of the emotion of the seller and the buyer may have the price increase or decrease. So the bitcoin is votality because of the small supply and in-demand.

Why is fiat money not too volatility?
Because the government is able to regulate a traditional money, they can make new money and just increase its supply so that it does not have a votality compare to bitcoin.

Note: This is my only opinion, if you have any opinion you can also share it.
Bitcoin being a decentralised crypto currency does not have definite set of rules over it and there is no authentic regulating body over it and thus its valuation is very volatile and just keep on flactuating and it is all because of the votality of bitcoin, though bitcoin is better than Fiat currency in all respect like in safer and confidential transactions, very difficult to steal but in present scenario the Fiat currency is centralised and this is the only positive thing of Fiat currency right now but as soon as bitcoin will be centralised world wide then it will become the central currency world wide.
Dmitry.Vastov
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May 22, 2018, 09:50:26 AM
 #163

Why bitcoin is votality compare to fiat money. Many say bitcoin is not a good investment because it is votality.

What is votality?
liability to change rapidly and unpredictably, especially for the worse. this is the fast price change.

Why is the votality of bitcoin high?
Bitcoin is a low supply at the time of its growing number of users and it has become a demand for the masses. Many want to buy, Many want to sell in easy-word multiple transactions. When many bitcoin transactions are fast market movements and we do not know what might happen because of the emotion of the seller and the buyer may have the price increase or decrease. So the bitcoin is votality because of the small supply and in-demand.

Why is fiat money not too volatility?
Because the government is able to regulate a traditional money, they can make new money and just increase its supply so that it does not have a votality compare to bitcoin.

Note: This is my only opinion, if you have any opinion you can also share it.
Votality means liability to change rapidly and unpredictably, especially for the worse , this is the first price change, bitcoin being volatile always undergoes very frequent flactuation in the valuation and thus making most susceptible to lossses and the reason behind this is because there is no authentic regulating body over the bitcoin and thus there is no one to keep eye over all flactuation in valuation and only in this way Fiat currency is better than crypto currency and this is also for temporary basis.
rickyNmorty
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May 22, 2018, 10:02:13 AM
 #164

Why bitcoin is votality compare to fiat money. Many say bitcoin is not a good investment because it is votality.

Why is the votality of bitcoin high?
Bitcoin is a low supply at the time of its growing number of users and it has become a demand for the masses. Many want to buy, Many want to sell in easy-word multiple transactions. When many bitcoin transactions are fast market movements and we do not know what might happen because of the emotion of the seller and the buyer may have the price increase or decrease. So the bitcoin is votality because of the small supply and in-demand.

Note: This is my only opinion, if you have any opinion you can also share it.
Well that's true and obvious, Bitcoin's state of being unpredictable is a risk and mainly because it is running in a decentralized system. Bitcoin's volatility is due to limited supply and high demand from the investors and users. Fiat money is less volatile because it is controlled by the government and backed up by gold deposits so the value won't fluctuate so hard.
 
jchav010101
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May 22, 2018, 10:08:47 AM
 #165

The price of bitcoin is so volatile because many people buying it today.They are buying based on speculation not because they actually want to use them. We believe that in the future many people will want bitcoins so speculators buy bitcoins now in anticipation of that future demand and price increase.
chickenfacts
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May 22, 2018, 10:13:37 AM
 #166

The price of bitcoin is so volatile because many people buying it today.They are buying based on speculation not because they actually want to use them. We believe that in the future many people will want bitcoins so speculators buy bitcoins now in anticipation of that future demand and price increase.
Yes, most of them are buying for  speculation purpose , only  about 20% of them are buying for their business like investing or transfering  money. That's the sadness of this market right now, Bitcoin is turning into a kind of property no more currency.
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May 22, 2018, 12:24:04 PM
 #167

I think that, Bitcoin and foreign direct investment in countries with high inflation. Bitcoin’s use case as a currency for the developing countries that are currently experiencing high inflation is valuable when considering the volatility of Bitcoin in these economies versus the volatility of Bitcoin in US$. Bitcoin is much more volatile versus the USD than the high inflation Argentine peso versus the US$.Bitcoin’s volatility at the present makes it a somewhat unclear store of value, but it promises nearly frictionless value transfer. Since these two drivers of the current spot price of Bitcoin vary against the dollar and other fiat currencies, we see that Bitcoin's value can swing based on news events much as we observe with fiat currencies.
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May 22, 2018, 01:05:29 PM
 #168

I think that, Bitcoin and foreign direct investment in countries with high inflation. Bitcoin’s use case as a currency for the developing countries that are currently experiencing high inflation is valuable when considering the volatility of Bitcoin in these economies versus the volatility of Bitcoin in US$. Bitcoin is much more volatile versus the USD than the high inflation Argentine peso versus the US$.Bitcoin’s volatility at the present makes it a somewhat unclear store of value, but it promises nearly frictionless value transfer. Since these two drivers of the current spot price of Bitcoin vary against the dollar and other fiat currencies, we see that Bitcoin's value can swing based on news events much as we observe with fiat currencies.

For me Bitcoin volatility is simply a symptom of bitcoins evolution and will not be a permanent feature. And it is true that Bitcoin is more volatile than the fiat money.
enthusia
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May 22, 2018, 01:25:51 PM
 #169

I think bitcoin's volatility varies in many reasons but the thing I always consider is that bitcoin is not just a plain virtual currency, its value always depend on its users and demand. Its not just a currency for payments but also as an asset that can be multiplied by its holders.
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May 22, 2018, 01:33:53 PM
 #170

yes, you are right guys. I also have the same opinion. Bitcoin is very votality because bitcoin has no base value. bitcoin has value because of those who give it. the person who sent the request and the offer. other than that bitcoin has no regulations and rules. so the price is made on demand and offer. unlike fiat money that has been set by the government. so bitcoin is easy up and down
  while the fiat currency remains stable because there are rules.
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May 22, 2018, 01:35:33 PM
 #171

Because bitcoin is ll decentralized digital currency which fluctuate  its prise as per its demand and supolay in crypto market. High demand and low supplay make hike in its price and high supplay and low demand make diminishing price. So thats why its volatile in nature.
tony kurniawan
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May 22, 2018, 01:39:13 PM
 #172

Why bitcoin is votality compare to fiat money. Many say bitcoin is not a good investment because it is votality.

What is votality?
liability to change rapidly and unpredictably, especially for the worse. this is the fast price change.

Why is the votality of bitcoin high?
Bitcoin is a low supply at the time of its growing number of users and it has become a demand for the masses. Many want to buy, Many want to sell in easy-word multiple transactions. When many bitcoin transactions are fast market movements and we do not know what might happen because of the emotion of the seller and the buyer may have the price increase or decrease. So the bitcoin is votality because of the small supply and in-demand.

Why is fiat money not too volatility?
Because the government is able to regulate a traditional money, they can make new money and just increase its supply so that it does not have a votality compare to bitcoin.

Note: This is my only opinion, if you have any opinion you can also share it.

Bitcoin differs from fiat currency, decentralized bitcoin so bitcoin prices depend on demand and supply, as demand increases bitcoin prices rise, and when many people panic sell then bitcoin prices will also fall.
rightway00372018
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May 22, 2018, 01:45:47 PM
 #173

Why bitcoin is votality compare to fiat money. Many say bitcoin is not a good investment because it is votality.

What is votality?
liability to change rapidly and unpredictably, especially for the worse. this is the fast price change.

Why is the votality of bitcoin high?
Bitcoin is a low supply at the time of its growing number of users and it has become a demand for the masses. Many want to buy, Many want to sell in easy-word multiple transactions. When many bitcoin transactions are fast market movements and we do not know what might happen because of the emotion of the seller and the buyer may have the price increase or decrease. So the bitcoin is votality because of the small supply and in-demand.

Why is fiat money not too volatility?
Because the government is able to regulate a traditional money, they can make new money and just increase its supply so that it does not have a votality compare to bitcoin.

Note: This is my only opinion, if you have any opinion you can also share it.

Bitcoin differs from fiat currency, decentralized bitcoin so bitcoin prices depend on demand and supply, as demand increases bitcoin prices rise, and when many people panic sell then bitcoin prices will also fall.

We should be aware on what we are investing so we are ready for any challenges like investing in crypto market were price volatility is one of its characteristics so we dont get panic in case it happen.
redhorsebeer1980
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May 23, 2018, 03:13:31 PM
 #174

The government has nothing to do with the fluctuations of bitcoin.It is true that the government may have an effect on bitcoin prices because of their policies but the government does not play a direct role in price volatility. I think fluctuations occur because the amount of demand and supply differs greatly.Sometime trading makes the volatility as well.
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May 23, 2018, 03:25:18 PM
 #175

The government has nothing to do with the fluctuations of bitcoin.It is true that the government may have an effect on bitcoin prices because of their policies but the government does not play a direct role in price volatility. I think fluctuations occur because the amount of demand and supply differs greatly.Sometime trading makes the volatility as well.
Yes you are right they don't have any direct role to play in the crypto currency prices but their regulation highly affects the demand which causes the price fall too.
But most of the volatility cames from newbie investors who are selling their cryptos in panic while there is dump in the market.

Vanester2014
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May 23, 2018, 03:30:05 PM
 #176

i think its because of the supply and demand of bitcoin thats the reasons why bitcoin is so volatile the more people buy bitcoins the more the higher the price of thid. so if there are so many people will dump the coins it surely goes dump.

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May 23, 2018, 03:43:32 PM
 #177

The government has nothing to do with the fluctuations of bitcoin.It is true that the government may have an effect on bitcoin prices because of their policies but the government does not play a direct role in price volatility. I think fluctuations occur because the amount of demand and supply differs greatly.Sometime trading makes the volatility as well.
Yes you are right they don't have any direct role to play in the crypto currency prices but their regulation highly affects the demand which causes the price fall too.
But most of the volatility cames from newbie investors who are selling their cryptos in panic while there is dump in the market.

Their is no relation between panic and newbie , only the dumping of price mainly caused by newbie due to panic but the main volatility is due to shortterm traders who book profit with small profit and that creates the price to move down. This year the main problem happened due to most of the country going for regulating crypto and giving lot of rules that makes them trade in low.
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May 23, 2018, 08:06:36 PM
 #178

In addition to the demand and supply factor, the volatility in Bitcoin can also be driven to an extent by the holders of large proportions of Bitcoin. For Bitcoin investors with current holdings above around $10M, it is not clear how they would liquidate their holdings into fiat without severely moving the market. Then the rate of adoption is also affected by the type of news in the market which adds to volatility.
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May 23, 2018, 08:30:29 PM
 #179

It's normal, Bitcoin is volatility on the market because bitcoin is an asset for the online trading
And it's make of bitcoins is good to get a profit from volatility.

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yafatahu
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May 23, 2018, 08:35:38 PM
 #180

Why bitcoin is votality compare to fiat money. Many say bitcoin is not a good investment because it is votality.

What is votality?
liability to change rapidly and unpredictably, especially for the worse. this is the fast price change.

Why is the votality of bitcoin high?
Bitcoin is a low supply at the time of its growing number of users and it has become a demand for the masses. Many want to buy, Many want to sell in easy-word multiple transactions. When many bitcoin transactions are fast market movements and we do not know what might happen because of the emotion of the seller and the buyer may have the price increase or decrease. So the bitcoin is votality because of the small supply and in-demand.

Why is fiat money not too volatility?
Because the government is able to regulate a traditional money, they can make new money and just increase its supply so that it does not have a votality compare to bitcoin.

Note: This is my only opinion, if you have any opinion you can also share it.

Bitcoin volatility is normal, Bitcoin is volatility on the market because bitcoin is an asset for the online trading . It is a good thing, you can get earn from volatylity.
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