Who sets the bitcoin price?

[amishmanish]

Bitcoin is the first of its kind technology that has taken a middlemen out of maintaining a ledger. There is value in its network's capability to transfer wealth, not just money. It is traded like a commodity and the price remains dependent on the market buy-sell pressures.

The network effect ensures that there are multiple organisations and individuals the world over who are invested in this. What is important is to have some for of realization as to what justifies the future increase in price. This is largely dependent on navigating the pitfalls of regulation, centralization pressures, transaction throughput and the potential of significant services/ products to be built on top of the base layer.

This is the reason that imo, Lightning Network remains a very important factor. It is the only innovation which is currently focussed on removing the transaction speed bottleneck and allow building more products. Barring that, in the long term there isn't really any reason for the price to go up except institutional acceptance and interest. If institutions start building positions in Bitcoin, the retail investors like you and me will profit. That is a very socio-political decision and it can go either ways in the long run.

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[witcher_sense]

Bitcoin is unique because it is an absolutely scarce asset that can be traded on a free market. These two features - finite scarcity and saleability of bitcoin make it interesting. For example, time is also absolutely scarce but it cannot be exchanged on the market. Bitcoin is scarce as time, its total supply is known to the market, its issuance is programmed and cannot be altered, these all qualities make its price volatile. Price is volatile because of the fact that demand for bitcoin is not programmed and always changes and fluctuates. When demand is high and supply is relatively stable, prices grow and vice versa, when demand is low, prices fall.

[Yaunfitda]

Many people who new in the crypto world think that Bitcoin is managed by a company and the owners hold all of the Bitcoin and they are selling them into the market when they need the money that's why Bitcoin price is change daily.

I don't know about this, but the first thing you learn when you get involved in bitcoin is that it is decentralised, no central authority.

But as a newbie, I Think the Bitcoin price change for two reasons. One reason is supply and demand.

That is the basic tenet of bitcoin, supply and demand, and with limited supply, the price has the potential to grow overtime.

Second reason It is very easy to buy and sell in the marketplace. There is no govt. rules for buying and selling crypto.No need to go bank or others. Anyone can buy Bitcoin easily using the blockchain network which has a direct impact on the bitcoin price.

More likely you buy bitcoin in an exchange, or thru P2P. Yes, there are no government rules, but regulations are already here. And most exchanges now requires, KYC documents.

At Present, the crypto world is trying to resolve slow speed up the number of transactions. When this change is applied, the world is converted into a new cryptocurrency world.

There is already LN (Lightning Network).

[LogitechMouse]

Many people who new in the crypto world think that Bitcoin is managed by a company and the owners hold all of the Bitcoin and they are selling them into the market when they need the money that's why Bitcoin price is change daily.

If a newbie in crypto did even a little bit of a research, I think that they will see first that bitcoin is a decentralized currency so I don't think that this statement is true in any way unless that new in crypto didn't even tried to at least know the true definition of Bitcoin.

Supply and Demand is one yes but investors are related to it so in general, the investors are setting the price of it.
I think right now, the whales and large institutions are the ones who are controlling the price of it. No evidence but just a theory. The 2 reasons that you shared are true but you can just say that the investors are the ones who are setting the price of Bitcoin.

[rendravolt]

Bitcoin for people all over the world. So there is no such thing as being controlled by the government or even by companies. All purely from buying and selling transactions between people in the market and that is what causes bitcoin prices to fluctuate. So the price of bitcoin every day is unstable and we can take advantage of it.

[Shimmiry]

Second reason It is very easy to buy and sell in the marketplace. There is no govt. rules for buying and selling crypto.No need to go bank or others. Anyone can buy Bitcoin easily using the blockchain network which has a direct impact on the bitcoin price.

Not really. It's dependent on the country. Some countries sees bitcoin as an illegal financial platform. That is why they have lost restricting the citizen''s buy or sell of bitcoin. It's hard for that country's citizen who wants buy or sell bitcoin of the law that forbids it. But the adoption on bitcoin is progressive, so we will see more laws that will allow it's citizens to buy/sell bitcoin freely.

[lebregone]

Bitcoin price are set by the demand and supply, you have hit it correctly. Once the demand will grow then the price of bitcoin will start to increase, the same will
happen if the supply will hit it's dead end.

But if there is too much supply then the price of bitcoin will decrease, this scenario will continue to go up and down as there are big whales out there who are manipulating the
price of bitcoin as they are earning a profit by doing it. So right now, I can conclude that big whales are setting the price of bitcoin but this will eventually stop if the holders
or users of bitcoin will continue to increase where the big whales will have a difficulty in manipulating it's price.

[coolcoinz]

Many people who new in the crypto world think that Bitcoin is managed by a company and the owners hold all of the Bitcoin and they are selling them into the market when they need the money that's why Bitcoin price is change daily.

That's literally the definition of how Ripple runs their XRP.

With Bitcoin the official version is that it's managed by supply and demand. The conspiration theorists prefer to say that it's run by whales who manipulate the price.

[Robertshon]

Why do you think I used google translate? I am new maybe my content is not of good quality that's why you think I used google translate. But I did not take any help from google translate...I read some article on google, I saw some video then I write this article

[imstillthebest]

Bitcoin for people all over the world. So there is no such thing as being controlled by the government or even by companies. All purely from buying and selling transactions between people in the market and that is what causes bitcoin prices to fluctuate. So the price of bitcoin every day is unstable and we can take advantage of it.

nice to see a people that are thinking positive or saying positive stuff towards the unstability of the btc because most of the time I only hear bad comments from the people saying this and that because they don't know how to take advantage of the volatile nature of btc . Too bad to know that government's cant control the price but they have the ability to stop the use of btc   . On other countries btc use is allowed and they can set the price depending if what side has the biggest favor .

[jademaxsuy]

It reminds me of myself talking about the demand and supply when I join bitcoin and did not have the idea why bitcoin market price move. The geniusis in a discussion had explain like this and because economics subjects were being taught in secondary school level then that was the time that I was able to understand how bitcoin market price move.

However, until now the question still wanting me a prove on really bitcoin price was not being influenced by dev? I do not think that it is not possible to reduce or increase letting it keep within their team or group. Who knows? Well I a just only expressing doubts towards bitcoin.

[Cryptoreflector_666]

It reminds me of myself talking about the demand and supply when I join bitcoin and did not have the idea why bitcoin market price move. The geniusis in a discussion had explain like this and because economics subjects were being taught in secondary school level then that was the time that I was able to understand how bitcoin market price move.

However, until now the question still wanting me a prove on really bitcoin price was not being influenced by dev? I do not think that it is not possible to reduce or increase letting it keep within their team or group. Who knows? Well I a just only expressing doubts towards bitcoin.

I will tell you more: when I studied at the University at the faculty of Economics, no one even talked about bitcoin, because it did not have such a wide popularity as it is now. As far as I know, the University has now introduced a small course on cryptocurrencies and it explains the volatility of bitcoin. See similar ones online.

[VanityWallets2015]

It reminds me of myself talking about the demand and supply when I join bitcoin and did not have the idea why bitcoin market price move. The geniusis in a discussion had explain like this and because economics subjects were being taught in secondary school level then that was the time that I was able to understand how bitcoin market price move.

However, until now the question still wanting me a prove on really bitcoin price was not being influenced by dev? I do not think that it is not possible to reduce or increase letting it keep within their team or group. Who knows? Well I a just only expressing doubts towards bitcoin.

I will tell you more: when I studied at the University at the faculty of Economics, no one even talked about bitcoin, because it did not have such a wide popularity as it is now. As far as I know, the University has now introduced a small course on cryptocurrencies and it explains the volatility of bitcoin. See similar ones online.

That is true, Bitcoin has had changes with its popularity and size of the community it has.
Point taken, the community is the primary driving force of supply and demand, as it sets the Bitcoin price.
And because it is decentralized, exchanges has been rampant that it contributes to the volatility of Bitcoin.

[hotwheels798]

Well bitcoin is a public property till now ( because no one has the code of Bitcoin except Satoshi Nakamoto). And as we all know how valuable the bitcoin is , no one knows where is Satoshi Nakamoto. Now a days specially the whole market is manipulated by Big whales , some crypto signal channels and some youtubers. I will tell you how it works.
As we all know if buyers come to market in huge number the price will go up and if the huge number of sellers will come out from the market , the price will come down. Some year ago, Big whales just manipulated the whole bitcoin market by playing with peoples emotion and by spreading panic news. To counter this , some channels and some youtubers also started providing signals. That's why the price prediction of bitcoin is kind of unpredictable , very less technical analysis will work ( possibility). So no one decided the price tag of bitcoin . Its totally based on supply and demand.

[Andronadar]

Of course, everything is interconnected, and, of course, such information is very interesting to learn.

[ampu]

No one can price Bitcoin because bitcoin is the property of the community and it is mined by miners. For years, miners have had to increase the cost of creating bitcoin so that it has a constant value. Bitcoin's value comes from the needs of people to use and exchange it. The more people want to own Bitcoin, the more bitcoin's supply decreases and the value increases through exchanges and exchanges.

[soulripper]

We all know bitcoin are decentralized coin and no one can control bitcoin so most of the price is being control by the buyer and the seller itself at exchanges market. What can effect bitcoin was bad reputation and a bad hype on bitcoin can bring market to down but most of the time we all can see bitcoin still survived till today despite on bad rumors about it on the internet. 

[Leviathan.007]

Since bitcoin is decentralized and not being controlled by any government or organization, none can even set official price for one bitcoin. The only thing setting and changing the price over the time in the markets is the supply and demand. But, there are many whales controlling a huge amount of bitcoins so they have more power to change the price usually in sharp movement of the price.

[Shasha80]

It's natural for newbies to think Bitcoin is managed by company, because they think Bitcoin is centralized. Even though the reality is
different that Bitcoin is decentralized, which no one can control Bitcoin. The price of Bitcoin is purely determined based on supply and
demand in the market. But the negative things that can happen, there are some whales who have large amounts of Bitcoin capable of
manipulating the market. Although it is risky for the whales too.

[Xembin]

I think,supply and demand set the bitcoin price. Bitcoin is decentralized,no body control the  price of bitcoin, only supply and  demand has the power to control the price in the market.
Currently, there is a cap of 21m bitcoins,  show that the cap is full, that means the supply of bitcoin is surplus in the market, until demand comes in before the market price can change.