Post
Topic
Board Speculation
Re: What Dictates Bitcoin Price Increase?
by
arisatox
on 20/12/2017, 08:32:32 UTC
When I joined this group bitcoin price is around $10,000. After a few weeks it steadily increased to $15,000 and now to $18,000+ and speculations of its anticipated increase to $20,000 is all over the internet. I'm really curious who dictates the price increase since Bitcoin is a decentralized currency. Is it really due to the fixed number of Bitcoin to be circulated and a high demand or is it something else. Bitcoin really is beyond logic, Too Fast, Too High and Too Good to be True. I'm in but I can't still get out this feeling of doubt screaming at me saying Get out of there its gonna crash soon. It helps to read a lot of positive articles and threads on Bitcoin. I hope you can share your Idea on this. Thanks.

It is entirely supply and demand. If there are 100 coins available and 100 people each want one, the price is steady. If one person wants 2, now he's increasing his bid. Someone else wants 5, so he's offering more on top of that. The same goes in the opposite, as well. Everything is dictated by two things: how much is someone willing to pay to obtain one and how much is someone requiring in return for selling? Once the two match, deal is done and price goes up, down, or stays the same.