Post
Topic
Board Bitcoin Discussion
Re: Bitcoin Price
by
tinopener
on 16/01/2021, 05:50:43 UTC
I'm a bit new to Bitcoin. I've been following its growth over the past few years and am really interested in trying it out. But I have some questions which I can ask here right?

Something I never understood is how is Bitcoin price calculated?

*I think* it's done like shares, on the exchanges where it's simply a matter of supply and demand, like haggling at the market.
This is a simple answer how its price being calculated. The calculation was posted above and this is how it goes.
As per coinmarketcap.com
Total market cap = $681,180,607,574
Circulating supply = 18,601,468

Here's the other calculation.
Code:
Total market cap / circulating supply = price
Which leads to the current price of $36,619 but it changes all of the time because it is volatile.

I think the OP is asking how the price actually moves, rather than a current snapshot.