Why Bitcoin price goes up and down. for new Beginners

[Queen uloma]

New Beginners do ask why Bitcoin price goes up and later comes down, the answer is that Bitcoin price changes because of supply and demand, supply and demand change the price of Bitcoin which is affecting the traders.
Here are the main reasons:
1, Demand and supply: when large number of people wants to purchase Bitcoin and others wants to sell Bitcoin, the price will eventually goes down, Investors make alot of profit and people who buy early in low price leave their investment to grow, but when the price goes down, investors undergo losses.
2, New Event: when a well-doing companies accept to invest in Bitcoin, it makes the price to go up, sometimes due to government intervention or exchange hacks,this makes people fear and sell quickly.
3, fear and Greed: sometimes our emotions affect Bitcoin price, when it comes to fear it makes the price to drop, and when it also comes to greed, people develop interest to buy fast, this make the price to rise.
4, whales: (which simply means big investors) there are people who invest large amount of Bitcoin in which they are called ( whale), these people can control the price when ever they buy or sell in large Amount.

[EL MOHA]

The reason why bitcoin price is actually going up or down is dependent on one thing only and it is your first point which is demand and supply, for me the other three listed points are above are just still under demand as supply as they do not themselves affect bitcoin price directly but rather have to be effected by the demand and supply of the investors. If a new event happens for like your example a big company announces to invest into bitcoin then it will only affect bitcoin price if the investors take this as a positive sign to actually invest then the demand goes high and it increases the price of bitcoin or if the move discourages then to actually increase supply.


None of this events can actually affect bitcoin directly it requires investors demand or supply, the bitcoin price doesn’t go up because one person buys large amount of bitcoin or government enacts some rules, the Market has to actually be able to react depending on the reaction of investors

[Hypnosis00]

Bitcoin price goes up and down because of its highly volatile in nature. There are price fluctuations happen from time to time, depending on how supply and demand works in the market. If you see more people are buying, its demand increases while leaving the supply low, so price will surge high. But if there is low demand, its supply increases, making the price drop at a low price.

But regardless of it, the mere fact that bitcoin is highly volatile which makes it very unpredictable, its price will definitely goes up and low.

[BitMaxz]

The reason why bitcoin price is actually going up or down is dependent on one thing only and it is your first point which is demand and supply, for me the other three listed points are above are just still under demand as supply as they do not themselves affect bitcoin price directly but rather have to be effected by the demand and supply of the investors. If a new event happens for like your example a big company announces to invest into bitcoin then it will only affect bitcoin price if the investors take this as a positive sign to actually invest then the demand goes high and it increases the price of bitcoin or if the move discourages then to actually increase supply.


None of this events can actually affect bitcoin directly it requires investors demand or supply, the bitcoin price doesn’t go up because one person buys large amount of bitcoin or government enacts some rules, the Market has to actually be able to react depending on the reaction of investors

All of them have some impact, either small or big, but all of them contribute to the BTC price. It isn't just because of demand and supply, but also the BTC price is affected by the global economy, news, BTC ETF in/outflow, etc...
If you are a trader, you should know all of them. Look at the news about tariffs that led to BTC price suddenly dumping.

[Supreme Donvic]

You are right all you have said is very correct, all these explanation you made will really help those who are into bitcoin trading because with this information you will know when to trade and when to hold, the one that will be very difficult for people to study and understand or know when it will happen is the one of Whales because you never know when these people that accumulate bitcoin with huge amount of money wants to sell or accumulate more, however, some set of people that usually accumulate with huge amount of money, usually post it on their social media account before they do it for example Michael J. Saylor whenever he wants to purchase bitcoin he usually post it on his X account so if you are following this set of people on their social media, you may also likely know when they whales will happen.

[Rashlyowl]

The main reason is demand, besides demand, there are other factors that support the rise & fall of prices.

When demand rises, BTC price will 📈
When demand drops (selling action), BTC price will 📉

Whales, economic news, dominant country government policies, socio-cultural factors are only driving factors in the process of rising & falling prices, it's that simple bros @Queen uloma.

[SuperBitMan]

The main reason is demand, besides demand, there are other factors that support the rise & fall of prices.

When demand rises, BTC price will 📈
When demand drops (selling action), BTC price will 📉

Whales, economic news, dominant country government policies, socio-cultural factors are only driving factors in the process of rising & falling prices, it's that simple bros @Queen uloma.

Yes it is demand that causes the fall and rise of bitcoin and nothing more just like you explain when the demand is high and people are just operating it with huge amount of money the price we go up, but when the demand is low and people are even selling out their bitcoin, the price will fall this is how bitcoin operates nothing more than this. when people starts accumulating bitcoin with huge amount of money, you will see how the price we go up and immediately when they start selling the price will come down, the same way Goods in the market operate that is the same way bitcoin operate and that is the simple and truthful fact.
The reason why bitcoin is where it is today is because of how people were accumulating bitcoin and holding the numbers of people that we are calculating bitcoin, and holding were much and this is the reason why bitcoin started growing in price.

[ColdLava40]

Why Bitcoin price price goes up and down for new Beginners

The up and down movement isn't specifically designed for bitcoin alone. All market moves using same dynamics.

If they as a newbie take their time to check the market, they would see that it's a series of endless cycle..

Each candle represents liquidity and every cycle tells what the buyers and sellers are up to In the market..

[sheenshane]

1, Demand and supply: when large number of people wants to purchase Bitcoin and others wants to sell Bitcoin, the price will eventually goes down, Investors make alot of profit and people who buy early in low price leave their investment to grow, but when the price goes down, investors undergo losses.

No, this is wrong.
As long as you strongly hold your Bitcoin during downtime, there will be no losses at all.
If you have 1 Bitcoin, it will remain 1 Bitcoin even though the price goes down too much. 
Losses occur when you sell it, even if the price goes down.

[Catenaccio]

New Beginners do ask why Bitcoin price goes up and later comes down, the answer is that Bitcoin price changes because of supply and demand, supply and demand change the price of Bitcoin which is affecting the traders.

All markets must have ups and downs as any market without price up and down is a dead market. No one trades by buying and selling at the same price, and a live market does not work this way.

Ups and downs of price are very normal in all markets but different people with diversifying experience will feel about price changes differently. Some see these changes are normal, and the others see these changes as very volatile. They even feel FOMO or panic with price changes in the market especially who are newbies and don't have enough experience with the market.

Supply of Bitcoin in total supply is know, and there will be less future supply from Bitcoin block subsidy by Bitcoin halvings. Demands on Bitcoin as we know increase a lot with time so with Supply vs Demand principle, price must have bullish run. Unfortunately it is only true in long term but in short term there are volatility including bear market with crashes, massacres.

This chart shows how Bitcoin has been always bullish in long term. If you know it, can take advantage of it by patiently and disciplinedly accumulate bitcoin with time, you will be among winners in the market.
https://charts.bitbo.io/yearly-candles/

[laijsica]

The price of Bitcoin fluctuates depending on its demand. The shortage of this asset in the market will occur at a time when a large number of investors will only continue to buy. Naturally, there is a shortage of supply and it will be more pronounced in the future. In this, the attitude of investors worldwide is towards holding, the value of this asset will increase more as expected.

Keep doing Bitcoin in the DCA method by adjusting it to your own financial stability and long term mind set. In the future, with the limited supply of Bitcoin, there will be a shortage of this asset in the market and there is a strong possibility of the price skyrocketing.

[Jamestown70]

3, fear and Greed: sometimes our emotions affect Bitcoin price, when it comes to fear it makes the price to drop, and when it also comes to greed, people develop interest to buy fast, this make the price to rise..

This is the major reason you have to get a good background knowledge of Bitcoin after investing, you need to understand that the Bitcoin price is not being controlled by anyone in particular but the participation of a large amounts of persons, whales individuals and companies, if you’re well equipped with basic knowledge of Bitcoin and you have a long term set out goal you won’t let greed or fear override your emotion into selling or buying.
As someone that’s has a plan to invest into Bitcoin, gambling your Bitcoin shouldn’t come across your mind, because in the long run you’ll end up bringing your Bitcoin portfolio to a crash sooner or later.

[sleepfirefly]

bitcoin is volatile and beginners should not expect bitcoin to remain linear

just because bitcoin is declining means it will crash down forever same as if bitcoin was rising it will not always be and the only reason for that is because of its limited supply and how the demand increases or decreases over time

[Marvelockg]

The reason why bitcoin price is actually going up or down is dependent on one thing only and it is your first point which is demand and supply, for me the other three listed points are above are just still under demand as supply as they do not themselves affect bitcoin price directly but rather have to be effected by the demand and supply of the investors.

If other factors like institutional adoption, government policies and sometimes the effect of bitcoin circles either directly or indirectly affect the price of bitcoin, then it's right to include them as the course of volatility. As much as the effect of every other factor still comes down to demand and supply, newbies proper understanding of those other factors will help them easily dictate while Thier might be some rapid volatility when there's a change in government regulations or so..

[Merit.s]

Demand and supply is the key factor that affects bitcoin price. This is always from fundamental analysis that causes investors sentiment. Bitcoin is volatile in nature, that makes the price to fluctuate.

I don't think that newbies should be worried about the price fluctuations of bitcoin if they're not going into trading. A long-term investor should not be bothered about the price movement of the market but use it as an opportunity to buy more stash.

[Mhizlove]

The reason why bitcoin price goes up and down is because of the influence of many things,and thes things do affects the price, but the main cause of it is demand and supply. When the people that are buying is more than those selling the price will be up and when those that are selling much than those who buy the price will drop and this affects the traders.

Not only this, your emotions can also affect bitcoin price, because if you're afraid that can make you sell out your coin quickly and again greed do makes people rush into buying too. You see investors too also, because they can move the market anytime they buy and sell in large quantity or amount. All these are the reasons why bitcoin price changes like it goes up and down and this can affect and confuse the new beginners because of the way price changes.

[Rashlyowl]

Yes it is demand that causes the fall and rise of bitcoin and nothing more just like you explain when the demand is high and people are just operating it with huge amount of money the price we go up, but when the demand is low and people are even selling out their bitcoin, the price will fall this is how bitcoin operates nothing more than this.

Not only in the crypto market, demand, price increases & decreases occur in all financial instruments, just like traditional markets.

The reason why bitcoin is where it is today is because of how people were accumulating bitcoin and holding the numbers of people that we are calculating bitcoin, and holding were much and this is the reason why bitcoin started growing in price.

BTC today has gone through a long journey before reaching its current position, BTC & its community have experienced ridicule, mockery & resistance from large institutions.

Those (big institutions) who initially mocked, then attacked eventually became big adopters. This is the explosive point of BTC price increase, retailers are increasingly confident in BTC because large institutions believe that, even though they used to criticize BTC, they ultimately have a significant role in BTC price growth.

[lovesmayfamilis]

The reason why bitcoin price goes up and down is because of the influence of many things,and thes things do affects the price, but the main cause of it is demand and supply. When the people that are buying is more than those selling the price will be up and when those that are selling much than those who buy the price will drop and this affects the traders.

Not only this, your emotions can also affect bitcoin price, because if you're afraid that can make you sell out your coin quickly and again greed do makes people rush into buying too. You see investors too also, because they can move the market anytime they buy and sell in large quantity or amount. All these are the reasons why bitcoin price changes like it goes up and down and this can affect and confuse the new beginners because of the way price changes.

Is there a difference in your answer from what the OP wrote, or did you just rephrase the same thing?
Yes, it seems you forgot to mention the whales.

New Beginners do ask why Bitcoin price goes up and later comes down, the answer is that Bitcoin price changes because of supply and demand, supply and demand change the price of Bitcoin which is affecting the traders.
Here are the main reasons:
1, Demand and supply: when large number of people wants to purchase Bitcoin and others wants to sell Bitcoin, the price will eventually goes down, Investors make alot of profit and people who buy early in low price leave their investment to grow, but when the price goes down, investors undergo losses.
2, New Event: when a well-doing companies accept to invest in Bitcoin, it makes the price to go up, sometimes due to government intervention or exchange hacks,this makes people fear and sell quickly.
3, fear and Greed: sometimes our emotions affect Bitcoin price, when it comes to fear it makes the price to drop, and when it also comes to greed, people develop interest to buy fast, this make the price to rise.
4, whales: (which simply means big investors) there are people who invest large amount of Bitcoin in which they are called ( whale), these people can control the price when ever they buy or sell in large Amount.

[Mhizlove]

The reason why bitcoin price goes up and down is because of the influence of many things,and thes things do affects the price, but the main cause of it is demand and supply. When the people that are buying is more than those selling the price will be up and when those that are selling much than those who buy the price will drop and this affects the traders.

Not only this, your emotions can also affect bitcoin price, because if you're afraid that can make you sell out your coin quickly and again greed do makes people rush into buying too. You see investors too also, because they can move the market anytime they buy and sell in large quantity or amount. All these are the reasons why bitcoin price changes like it goes up and down and this can affect and confuse the new beginners because of the way price changes.

Is there a difference in your answer from what the OP wrote, or did you just rephrase the same thing?
Yes, it seems you forgot to mention the whales.

New Beginners do ask why Bitcoin price goes up and later comes down, the answer is that Bitcoin price changes because of supply and demand, supply and demand change the price of Bitcoin which is affecting the traders.
Here are the main reasons:
1, Demand and supply: when large number of people wants to purchase Bitcoin and others wants to sell Bitcoin, the price will eventually goes down, Investors make alot of profit and people who buy early in low price leave their investment to grow, but when the price goes down, investors undergo losses.
2, New Event: when a well-doing companies accept to invest in Bitcoin, it makes the price to go up, sometimes due to government intervention or exchange hacks,this makes people fear and sell quickly.
3, fear and Greed: sometimes our emotions affect Bitcoin price, when it comes to fear it makes the price to drop, and when it also comes to greed, people develop interest to buy fast, this make the price to rise.
4, whales: (which simply means big investors) there are people who invest large amount of Bitcoin in which they are called ( whale), these people can control the price when ever they buy or sell in large Amount.

It wasn't a rephrase we all know that bitcoin price changes because of how the market responds to actions of people. When the confidence of people are high and also buyers are much the price increases , same goes to when the sellers are much it's vice versa
Because since when bitcoin trades openly without one controlling body, any little changes can affect it in all aspects and also important transactions instantly affects the market .

[tech30338]

New Beginners do ask why Bitcoin price goes up and later comes down, the answer is that Bitcoin price changes because of supply and demand, supply and demand change the price of Bitcoin which is affecting the traders.
Here are the main reasons:
1, Demand and supply: when large number of people wants to purchase Bitcoin and others wants to sell Bitcoin, the price will eventually goes down, Investors make alot of profit and people who buy early in low price leave their investment to grow, but when the price goes down, investors undergo losses.
2, New Event: when a well-doing companies accept to invest in Bitcoin, it makes the price to go up, sometimes due to government intervention or exchange hacks,this makes people fear and sell quickly.
3, fear and Greed: sometimes our emotions affect Bitcoin price, when it comes to fear it makes the price to drop, and when it also comes to greed, people develop interest to buy fast, this make the price to rise.
4, whales: (which simply means big investors) there are people who invest large amount of Bitcoin in which they are called ( whale), these people can control the price when ever they buy or sell in large Amount.

The price of bitcoin is volatile also the price of bitcoin sometimes goes up and down depends on the news , if its positive it might push the price of bitcoin up, while negative news might push bitcoin price down, this are some of the reason but there are lots of things, aside from that, this are just some examples, if you are really into bitcoin this are some of the considerations you need to know, big companies who can manipulate price also contribute to the price volatility.