As we have seen, the price of Bitcoin is determined in absolute terms by supply and demand. If many buy Bitcoin, then the price will go up and vice versa. Bitcoin price volatility will be dampened if more and more Bitcoin users are scattered and the number of Bitcoin is also higher.

As we have seen, the price of Bitcoin is determined in absolute terms by supply and demand. If there are many who buy Bitcoin, then the price will go up and vice versa. When someone buys or sells Bitcoin at a high price, then the price will move in the extreme. The bitcoin price volatility will be dampened if more and more Bitcoin users and the number of Bitcoin also spread more widely.