Bitcoin price is always affected by world market news, why ???

[minairia3]

Bitcoin market is completely on the supply to demand market.

I don't think this is correct. It is true that the value of assets depends on supply and demand, but bitcoin is not exactly the same. I mean, it's still a more manipulative market based on supply and demand. Supply and demand never create such huge fluctuations, only market makers with a lot of money can manipulate it easily. With a market cap of just $500 billion in bitcoin, it's too easy to manipulate because, as we know, many billionaires even own hundreds of billions of dollars worth of personal wealth.

[1714775475]

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[bayu7adi]

The market is always changing according to world news. It has nothing to do with bitcoin
For a small investor like me, this is undesirable

In the realm of investments, we encounter two distinct types of players: retail investors and institutional investors. The primary distinction between these two categories lies in the vast disparity of their financial resources. Institutional investors possess a substantial percentage of overall investments, rendering their decisions highly influential in shaping market movements.

As retail investors, we operate on a much smaller scale, individually purchasing Bitcoin assets. Our influence is minuscule, as we merely follow the currents established by institutional investors. In reality, the news we receive provides insights into events that often elude the general public. However, a significant portion of this news is crafted with the intention of manipulating market dynamics and inciting panic among retail investors.

Frequently, retail investors react to circulating news by adjusting their investment strategies, while institutional investors adopt a contrarian approach. This practice is also observed in the stock markets of various countries, as this method proves highly effective in maximizing profits for institutional investors who collaborate closely with major media platforms.

[GreatArkansas]

(....)
I want to ask experienced investors?? How can you capture this potential market?

I agree that Bitcoin price is always affected by different factors, commonly in world market news.
For example, when the COVID-19 virus last 2020 started to spread to the whole world, we saw a massive dump on Bitcoin also in 2017, when there was news that Bitcoin will launch its first Bitcoin futures ETF, that's 2017 when we created an all-time high of $20,000.
Just be careful sometimes because some news are not true and it just trying to manipulate the price of Bitcoin.

[yhiaali3]

Highly volatile markets like the crypto market are affected by small or big economic news, you have to get used to such things in these volatile markets.

For small investors, they certainly cannot control the market or change its movement. This is the job of the big whales, so as a small investor, the best thing to do is ride the wave. When you see a rising wave, take advantage and take your profits, and when you see a descending wave, you should watch or strengthen your position.

[tygeade]

It depends on what type of news. But most assets are affected by big news. For example, the news about world economic problems is still lurking up to this day. It is nothing to do with bitcoin but somehow it is related. When the world is struggling financially, we expect all assets to have limited growth or the potential to drop in value centralized or decentralized.

If people and institutions are facing economic problems, most of the time they will withdraw their investments. The rich will at least try to do anything to safeguard their assets by holding cash and waiting for the right time to buy back. While ordinary people will be forced to use their investments until they can recover and starts saving again in order to invest.  

This is so important, people think that bitcoin acts upon what we hear and see whereas it's all of the assets in the world that gets an impact based on news. However, we should also realize that there isn't going to be anything shocking because bitcoin is volatile and others are not.

So in the end, your house could go down in value 1% and you wouldn't even notice, the stock you hold could go down 10%, the gold price could bottom at 5% lower, meanwhile during the same period bitcoin could drop 50% and it has in the past. This is why I believe that we shouldn't be shocked about what's going on, it's totally normal and people think that news impacts bitcoin alone since other stuff are too small, but bitcoin can also recover that fast back to previous price as well.

[michellee]

Highly volatile markets like the crypto market are affected by small or big economic news, you have to get used to such things in these volatile markets.

For small investors, they certainly cannot control the market or change its movement. This is the job of the big whales, so as a small investor, the best thing to do is ride the wave. When you see a rising wave, take advantage and take your profits, and when you see a descending wave, you should watch or strengthen your position.

By taking advantage of that wave, small investors can survive in all market situations and even they can still benefit. But small investors must seek and find those waves to enter the market properly.

Fluctuating markets can also be used to buy low and sell high and I think that's what small investors have done. Likewise, with the traders because only then can they still make a profit.

So with the world's news, there is no need to worry about us but instead, we get the opportunity to use it for our benefit. And that's where the beauty of the crypto market is different from the stock market and others. We are required to be able to adapt in all situations so that we can continue to benefit.

[posi]

Highly volatile markets like the crypto market are affected by small or big economic news, you have to get used to such things in these volatile markets.

For small investors, they certainly cannot control the market or change its movement. This is the job of the big whales, so as a small investor, the best thing to do is ride the wave. When you see a rising wave, take advantage and take your profits, and when you see a descending wave, you should watch or strengthen your position.

By taking advantage of that wave, small investors can survive in all market situations and even they can still benefit. But small investors must seek and find those waves to enter the market properly.

Fluctuating markets can also be used to buy low and sell high and I think that's what small investors have done. Likewise, with the traders because only then can they still make a profit.

So with the world's news, there is no need to worry about us but instead, we get the opportunity to use it for our benefit. And that's where the beauty of the crypto market is different from the stock market and others. We are required to be able to adapt in all situations so that we can continue to benefit.

The news also affects other financial markets, not just bitcoin. As far as I know, forex or stock traders are also very interested in macro news, even more than we are.  Because those markets are huge and such an important part of the economy, they will be more closely related to each other than cryptocurrencies. Cryptocurrencies are too new and too small to really have that big correlation.
But you are right, if someone is handy can take advantage of the news to make a profit, and that is the way many investors and traders are using it. It's not quite as bad as many people worry.

[isaac_clarke22]

(....)
I want to ask experienced investors?? How can you capture this potential market?

I agree that Bitcoin price is always affected by different factors, commonly in world market news.
For example, when the COVID-19 virus last 2020 started to spread to the whole world, we saw a massive dump on Bitcoin also in 2017, when there was news that Bitcoin will launch its first Bitcoin futures ETF, that's 2017 when we created an all-time high of $20,000.
Just be careful sometimes because some news are not true and it just trying to manipulate the price of Bitcoin.

Oh yeah that reminded me when I was like almost semi-newbie in Bitcoin. It was like a surprise to it to fall down back around 6k after it tried to go past 20 at that year. It was like still an achievement for me to be able to hold at least throughout that year and I gotta be honest that I almost panic sold my whole wallets that time.

During 2020, it was quite a different story for me though. I kinda cashed out a little bit since I really needed a cash at that time so yeah. Bitcoin still got its adoption from other people though, but it kinda gave birth to some shit NFTs at that time.

By taking advantage of that wave, small investors can survive in all market situations and even they can still benefit. But small investors must seek and find those waves to enter the market properly.

I would kinda consider myself also a small investor considering that USD rate here in my country is quite high so Bitcoin is kinda expensive to hold and starting out could turn out to be a pain in the ass. Small investor ain't a bad thing though. Screw all those gatekeepers.
Everyone just needs to start somewhere.

[Alpha Marine]

Bitcoin is part of the system, so what affects the system affects Bitcoin, can be positive or negative.
It's just like the stock exchange market. I don't know how true it is but I once read somewhere that the news of the world ending in 2012 led to a decline of the stock market for a particular period of time. It's funny I know but it's very possible. If stuff like that can affect the market then what about things that are not just stupid speculations but things that have implications?

Human beings are involved in these markets, be it the bitcoin market, stock market, or forex market, and these human beings live, work, and invest in a country and are affected by the things that happen or news that come out from those countries. So when news breaks, investors tend to do what is best for their investment. Whatever they do affects the market.
Sometimes, it could be new regulations and policies. The point is these things create a reaction in the market and that reaction leads to the upward or downward movement of the market.
It's the same thing with Bitcoin. The fact that Bitcoin is totally and completely decentralized doesn't mean it doesn't abide by the laws of economics. It is also bound to the laws of demand and supply. In fact, I believe the laws of economics affect Bitcoin more than it does other markets because, to an extent, those market can be manipulated since they are centralized.  

[teosanru]

I have been in the market since 2018. The paradox I find is
The market is always changing according to world news. It has nothing to do with bitcoin
For a small investor like me, this is undesirable
I want to ask experienced investors?? How can you capture this potential market?

Alternatively I feel market is quite on it's own from a long time. I have felt that it's only us who relate every movement of the market with some or the other thing while actually it's moving on it's own. Also in bull run you see every good news giving higher peaks to btc while every bear run you see every bad news giving lower troughs and also somehow no bad news effect markets in that time and similarly no good news effect markets majorly in these bear times.

[Hamza2424]

Hmm, let me change your mindset.
You said Bitcoin is independent yes it is but it never means that Bitcoin is from another Dimension or Universe it is part of the financial market. Let me explain how you are an investor yes or not? Obviously yes and you are living in the traditional financial ecosystem Yes or No? Yes obviously because you are not fully regulated in Bitcoin you can't use Bitcoin for each and every financial transaction dn for basic needs trading yous still can use BTC.

So when a crisis hits you and you are an investor of BTC how are you expecting it will not impact Bitcoin or the whole crypto market? Buddy yes Bitcoin market is different from the traditional market but still its the part of the Financial ecosystem. So when any financial disturbance occurs it affects the whole ecosystem and Bitcoin is part of the ecosystem.

Hope You got it. If not then let me know.. I can guide you in a more general way.

[Cookdata]

I have been in the market since 2018. The paradox I find is
The market is always changing according to world news. It has nothing to do with bitcoin
For a small investor like me, this is undesirable
I want to ask experienced investors?? How can you capture this potential market?

I think this relationship started during the Corona period when Bitcoin and the world market( stock and bonds) crashes and attention was all there in the world market since the world was expecting everything to be fine after the lockdown and when the market started bouncing back, bitcoin follow and that was how everything began, bitcoin market became correlated with anything that comes out of the stocks and bonds if the Fed decides to increase the interest rate, those actions affect bitcoin too because of the reactions of the stock and when vice versa, they also react to the market.

One thing you should understand about bitcoin is this, on the short-term level, bitcoin may be correlated with the traditional market but don't forget that Bitcoin has its own macro factors that push its own price, those factors like the Halving that happen every four years is what we look forward on the impact of bitcoin price.

[Volgastallion]

Because its money flow in the end and assets owned by humans or enterprises.

No matter if that its fiat, BTC gold, real state, bounds, so if that money flow goes down the price of all are gonna suffer or going up depending on the scenario, its simple as that, you take part in the universe, you are not for another universe of things.

[usekevin]

The price of bitcoin is depend on the daily news and other economic activity of the countries.When the stock market in the bull run,the traders will cash out and inverse in the cryptocurrency.Because they use the cryptocurrency for the multiple of holding monies.The small investors are who can inverse and should wait for the long term to earn some good returns.The person with high capital can do the day trading in the cryptocurrency.Many of my friends had earned huge money from the cryptocurrency in the day trading since 2017.The next halves will come in 2024,So it’s essential one for the long term holders to hold till next year.

[Kelvinid]

I have been in the market since 2018. The paradox I find is
The market is always changing according to world news. It has nothing to do with bitcoin
For a small investor like me, this is undesirable
I want to ask experienced investors?? How can you capture this potential market?

This is what we called volatility and it keeps changing and a lot of factors that influence the changes of its trend and this includes news, social media interactions, etc. It is not to wonder why because not all investors and holders have the same decision and mindset, some are panic sellers which really have a huge impact on the market price changes. The moment that there is a sudden up and down in demand, the more it gains volatility. That is why it is too hard nor do we have the chance to see the price of Bitcoin become stable but guess what, this even helps traders and investors to earn a profit.

[serjent05]

The price of bitcoin is depend on the daily news and other economic activity of the countries.

I also think that news has a huge impact on the Bitcoin market.  The volatility of Bitcoin is dependent not only on the supply and demand but also on the sentiment of the trader.  News often impact the emotional sentiment of traders making them adjust to the current trend and sentiment.

[bayu7adi]

The price of bitcoin is depend on the daily news and other economic activity of the countries.

I also think that news has a huge impact on the Bitcoin market.  The volatility of Bitcoin is dependent not only on the supply and demand but also on the sentiment of the trader.  News often impact the emotional sentiment of traders making them adjust to the current trend and sentiment.

However, in reality, mainstream media merely manipulates the emotions of retail traders who are unfamiliar with the game of institutional trading. Up until now, it is known that major media outlets or renowned news portals serve as the primary source for updated information regarding economic activities across various sectors. Yet, the truth of the matter is that a portion of the circulating news is a strategy employed by institutional traders to manipulate the market according to the desires of the wealthy.

Bitcoin still adheres to the principles of supply and demand to this day. It is the news itself that renders the supply and demand dynamics dynamic.

[Asuspawer09]

I have been in the market since 2018. The paradox I find is
The market is always changing according to world news. It has nothing to do with bitcoin
For a small investor like me, this is undesirable
I want to ask experienced investors?? How can you capture this potential market?

I mean it's normal since traders or holders of cryptocurrency and Bitcoin have emotions when they see good or bad news it could easily affect their decision to sell their holding or buy more crypto. There are obviously a lot of factors that are affecting the market so it's difficult to predict movement but any bad news that would make sense could easily affect the movement of the market. I mean it's the same with other investments. The thing here is most of the time market is manipulated since investors can easily be afraid of the drop or can be encouraged to buy more when they hear more great news.

It is the nature of it so we're going to need to adapt to it, learn, and make strategic plans on investing and how are going to exit the market. You lose if you get manipulated by the news.

[justdimin]

I have been in the market since 2018. The paradox I find is
The market is always changing according to world news. It has nothing to do with bitcoin
For a small investor like me, this is undesirable
I want to ask experienced investors?? How can you capture this potential market?

We are from the world, all of us, none of us live on mars, which means that when something bad happens in the world, it happens to us, directly. Also we are the ones that invest into bitcoin as well, it's our money that makes it go up or down as well. So when you combine these two together, you realize that the same people who are affected by the world market news, are the people who invest into bitcoin as well.

This is why it's getting a lot of trouble and we end up with a lot of bad results when there is something bad going on, and a lot of great rises if something good happens as well. That's how the market works, people in that market being richer means getting the price higher, poorer means getting it lower and it will not change any more.

[Hypnosis00]

I have been in the market since 2018. The paradox I find is
The market is always changing according to world news. It has nothing to do with bitcoin
For a small investor like me, this is undesirable
I want to ask experienced investors?? How can you capture this potential market?

I mean it's normal since traders or holders of cryptocurrency and Bitcoin have emotions when they see good or bad news it could easily affect their decision to sell their holding or buy more crypto. There are obviously a lot of factors that are affecting the market so it's difficult to predict movement but any bad news that would make sense could easily affect the movement of the market. I mean it's the same with other investments. The thing here is most of the time market is manipulated since investors can easily be afraid of the drop or can be encouraged to buy more when they hear more great news.

It is the nature of it so we're going to need to adapt to it, learn, and make strategic plans on investing and how are going to exit the market. You lose if you get manipulated by the news.

That creates a huge impact on our mentality. If before we simply ignore news but these days, this will even dictate to us what we gonna do next. That is why it was hard to think that Bitcoin price will become stable while people make decisions based on what they heard and read on the internet. If we can see some people are holding long-term and only potential coins, it is possible these days, these investors are not investing in hyped projects like meme coins as they have learned that there is money with them and eventually changed their behaviors and market insights.