What’s Driving the bitcoin Price?

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Since the birth of the Internet and its deflationary nature, there’s always been a hype about the bitcoins’ price going up or down. But what really determines a good price is how you think about the market. The more you think the market will go up, the more you should buy, because that’s how the system works. And the less you think it will go up, the better off you’ll be.

bitcoin price

So how do you think about the future of the bitcoin price? It varies from person to person, because everyone has a different view of the future. But if you take a look at what happened in the last year or so, you’ll see that there are a lot of indicators that predict a big change in the coming years. And these changes aren’t usually a surprise for those who follow the news closely.

Since the news broke that the FBI had found ten digital currencies, mostly bitcoin, in a malware operation, the bitcoin price went through the roof. Forex exchanges were quick to drop currencies and many of them followed suit. Even though some claimed it was a “good” move and “unpreventable” one, others were quick to point out that this kind of activity is also done by hackers. This created a lot of problems for the traders, who were busy trying to sell their portfolios in the forex exchanges.

But there are many reasons why the bitcoin price went up and down. First, it was uncertain how long the FBI will hold on to the currencies. For some time it was speculated that it will be a few days, then a week, then a month, and then a year. However, the news made many people jump into the Cryptocurrency market. Thus, the price went up.

Then the news of the arrests of two alleged hackers who attempted to break into the CIA was announced. According to the officials, the two planned to use the cryptography employed in the bitcoin network for their illegal activities. But since the cryptocurency cannot be controlled or changed without the permission and consent of its users, the hackers were arrested. This is not good for the overall security of the bitcoin network.

Another bad news is that the U.S. government is starting to look at the role of cryptocurency as money laundering. They are thinking about putting the currencies included in the bitcoin roadmap into a list of the most highly controlled currencies. This means that the bitcoin developers will have to start considering if they should include another type of currency in their product. One option is to come up with an alternative to the dollar, which they consider as the “bugsaboo” of modern monetary systems. The other option is to start thinking about creating bit gold or digital currencies like the euro or the gold coins previously used by ancient civilizations. Although this idea seems to be a long way off, it has been discussed by the bitcoin community since July of last year.

Even though many people do not believe that bitcoins can be used as a store of value, there is still a lot of speculative value associated with it. According to estimates, around 50% of the existing value of all the bitcoins in circulation are being held by investors. Some of the big players in the financial world are taking advantage of this situation. The governments of Russia and China have created virtual exchanges, which allow them to trade in the currency of their choice without having to deal with the problems associated with dealing with currency that is not their own.

In conclusion, we see a lot of activity happening in the bitcoin community during the past year. There have been several successful hard forks, various software solutions for upgrading the technology, and the foundation of an open source consortium. We are only at the beginning of what may be a long and exciting future. This year, we will also be witnessing the birth of a new “commerce” system called the Stellar Lumbo Platform.