Is there formula for bitcoin price ?

[maplelake]

I am wondering analysis of bitcoin price/value.
I see some simplified econmics model in Princeton course about bitcoin.
That is Supply = T/P
           Demand = S/D
For price P = TD/S.

Although it is simplied model, while it provides basic thinking about it.

My question is is there other popular model/formula about it ?

[Quidat]

Although it is simplied model, while it provides basic thinking about it.

My question is is there other popular model/formula about it ?

I dont think there would be a model/formula about it yet here on cryptospace where people do only refer on whats being written on coinmarketcap.com when it comes to
its total market capitalization which would signify its demand and this isnt the accurate one since OTC trades arent really being tallied nor being included.
BTC price is the average total on where bitcoin is being traded.

[tippytoes]

Although it is simplied model, while it provides basic thinking about it.

My question is is there other popular model/formula about it ?

I dont think there would be a model/formula about it yet here on cryptospace where people do only refer on whats being written on coinmarketcap.com when it comes to
its total market capitalization which would signify its demand and this isnt the accurate one since OTC trades arent really being tallied nor being included.
BTC price is the average total on where bitcoin is being traded.

There is really no accurate formula for the bitcoin price. Spare yourself in knowing one as there is nothing that you will find. The formulas the OP presented are just basic equations to get the approximate price. But looking for an accurate one, nope. There are a lot of factors in play here, aside from countless exchanges involved, the happenings or situations surrounding the use of bitcoin or crypto are immeasurable.

[Ashong Salonga]

I am wondering analysis of bitcoin price/value.
I see some simplified econmics model in Princeton course about bitcoin.
That is Supply = T/P
           Demand = S/D
For price P = TD/S.

Although it is simplied model, while it provides basic thinking about it.

My question is is there other popular model/formula about it ?

There is no effective formula in determining the price of Bitcoin unless the law of supply of demand in which you stated above. Technically, Bitcoin's price don't follow other principle but rather the supply and demand only. Due to this case, we are implementing the technical and fundamental analysis which is subjective though it uses indicators, charts, and news for a certain market such as Bitcoin.

[Ailmand]

No, there is none. The market is driven by the market and it is also affected by current event and price movement. Just a single dump can cause a massive panic. Also, there are big whales driving the market price, they can cause a massice pump or dump anytime they want. There is no specific formula, even TAs don't work sometimes.

[Blitzboy]

As others have said, there is no specific formula for calculating the value of bitcoin correctly. All are determined relatively, including the recipes you give here. If someone knows about economics, they will understand, Interest Rates, Inflation, Economic Growth, Political Stability are the main factors affecting the value of a currency. Read here to see more: https://xftcapital.com/en/article/economic-factors.html

[mu_enrico]

Supply = T/P
Demand = S/D
For price P = TD/S

This is not a proper way to present a formula. It would help if you mentioned/explain what T, P, S, and D are. Otherwise, the reader could get confused and discuss something that might not relevant to your formula.

My question is is there other popular model/formula about it ?

You might find this stock to flow model interesting:
https://bitcointalk.org/index.php?topic=5191012.0

However, keep in mind that models in economics/finance often biased and contain "big" statistical errors.

[Harriti]

I am wondering analysis of bitcoin price/value.
I see some simplified econmics model in Princeton course about bitcoin.
That is Supply = T/P
           Demand = S/D
For price P = TD/S.

Although it is simplied model, while it provides basic thinking about it.

My question is is there other popular model/formula about it ?

There will be no formula here, if the price of Bitcoin is known in the future then no one here is poor. All of them are just quarterly indicators of bitcoin's supply and demand to consider the psychology of crowds. These formulas will indicate the trend of the crowd in a certain period of time and your job is to determine the trend of the market in the next short term. It is quite similar to determining the trendline for Technical Analysis.

[Wexnident]

Information is quite lacking when you presented this. Sides, the Price of BTC involves a lot more factors and is quite unpredictable because human interaction could affect it. Plus, BTC price could differ from time to time because of the possible effects of halving.

I also tried deriving P from the given S and D, but the P i got is D/TD. Kindly give out the way you actually got P from S and D, then provide information, then we can talk.

[sheenshane]

I am wondering analysis of bitcoin price/value.

Dont make your mind blown just because of a mathematical bitcoin formula that you are looking for. Just simple to calculate the current price/value in the market even though this is a very volatile currency. You can use the calculator to multiply the price times to the current amount of Bitcoin.

But base on this medium post that I have found, there is a unique formula of bitcoin price using your scientific calculator.
Bitcoin price mathematical model (bitcoin formula)

[CodyAlfaridzi]

I am wondering analysis of bitcoin price/value.
I see some simplified econmics model in Princeton course about bitcoin.
That is Supply = T/P
           Demand = S/D
For price P = TD/S.

Although it is simplied model, while it provides basic thinking about it.

My question is is there other popular model/formula about it ?

That model is not only for Bitcoin. It was basic economic—supply and demand model for any goods.

I don't think I know any. Before jumping to formula, you should think of the major factors that could affect Bitcoin price significantly. Even for that simple question, the answer isn't there yet because Bitcoin is still young. Whales with big money could easily drive up or tank the price for no reason at all. I think most of the price movement happening recently isn't caused by any fundamental.

[Experia]

that is the basic for demand and supply but you should also consider the circulating supply, the dead coin ofcourse there were lots of btc in unknown address and there were no chance to be recovered you should also consider the daily volume it may affect the price.

[Janation]

There is a way to explain the price but a formula, I think there is none.

I mean we are talking about  Bitcoin here, one of the most volatile cryptocurrencies in the market. If we have the formula to compute the price of it, I don't think we will be having a problem earning here, right?

[Hydrogen]

Assuming there is a legit formula to determine bitcoin price somewhat assumes the majority of bitcoin value is determined by natural market mechanics.

Rather than partly determined by news stories, politics, market manipulation and assorted influencers.

I believe that's the largest obstacle to accurately predicting the value not only of crypto currencies but precious metals, fiat and virtually anything else. One example of this is the value of tesla stock. The news media published thousands of negative pieces on Elon Musk encouraging investors to short tesla stock. I think over time people realized the disproportionate amount of attention Elon Musk/Tesla/Space X were receiving.

On one side there was a political and media based agenda attempting to devalue tesla stock. On the opposite end of the spectrum there were earnings reports, press releases and tesla's unveiling of its new cybertruck which propelled the value of tesla's stock upwards.

How to draw up a formula which can quantify the effect of news stories and other topics which trend towards being somewhat intangible.

[blckhawk]

As much as we want to contribute, simple letters couldn't even explain what an element in your formula is. And by simple supply and demand, it doesn't work that way. Demand is a multi-factored element in its own, and is driven by market sentiment, recent news, companies take on an asset such as Bitcoin, and many other more. It cannot be simplified to a formula that would definitely answer predictions. No such thing exists.

[FlightyPouch]

I think we can say that it is based on the principle of the demand and supply but I don't think that would really determine the real price of bitcoin. The investors are the one that dictates how will the price move, if they invested more on it, the price will obviously go up, when most of them sell their investments, then it will just fall down.

[FanEagle]

It is all about the market and how it works out, if people are selling bitcoin then the price goes down, if they are buying it then price goes up. It is quite simple, however the tricky part that why no formula ever has succeeded to figure out the price before hand is that who holds the currencies.

For example, in stock market you usually know who holds which companies stock, even if not the small time minor holders but you at least know that who owns 10% of the company or what the banks are invested in etc etc. So, if you don't get that information in crypto, there could be someone with a million bitcoins keep attacking the price constantly (like Craig Wright) and we may never know about it, that is the real trouble. Whales make sure no formula ever works properly.

[agentx44]

I am wondering analysis of bitcoin price/value.
I see some simplified econmics model in Princeton course about bitcoin.
That is Supply = T/P
           Demand = S/D
For price P = TD/S.

Although it is simplied model, while it provides basic thinking about it.

My question is is there other popular model/formula about it ?

For me, there is no absolute formula to predict bitcoin's price. Just by having the fact that its value is very volatile, we can already say that different instances will occur leading to unpredictable determination of price. You may see whether it is going high or low for a moment but things will change quickly so you better be ready for those unexpected dumps to avoid losing money. You can use that formula but only in generally predicting what will happen next, not the exact value.

[Twentyonepaylots]

It is all about the market and how it works out, if people are selling bitcoin then the price goes down, if they are buying it then price goes up. It is quite simple, however the tricky part that why no formula ever has succeeded to figure out the price before hand is that who holds the currencies.

The price is simply based on how the demand and supply is moving, if the demand goes high the supply gets low, vice versa. So basically there is no formula at all because the market is constantly changing. Now if you guys are very eager to formulate an effective way of getting into bitcoin's price then might as well watch the prices 24/7, deep technical analysis and a heavy mathematical needs.

If such formula does exists then we should not have a forum like this coz no one will need no one.

[Dart18]

None. All are just prediction.
Coinmarketcap is just a basis.
Even with mining, bills,electricity, tax or whatever financial issue. They are all just putting a number there without accuracy.

Mostly I see calculation with miners but who knows who can really move the market.
You will just be shocked at the price dumps and pumps which is out of this world.