well, i been thinking for a while about who actually controls the bitcoin price.
among the following below, which one do you think has the major influence regarding the bitcoin price?
i. bitcoin whales
ii. the banks
iii. wall street
iv. hedge funds
v. crypto exchanges
vi. crypto influencers
The price of a Bitcoin is determined by the corresponding supply and demand on the market. When the demand for Bitcoins increases, the price increases and, accordingly, when the demand decreases, the price decreases. There are a certain number of Bitcoins in circulation and new Bitcoins are created at a predictable and declining rate, which means that demand must follow the level of inflation to keep the price stable. Given that Bitcoin is still a small market compared to the size it can reach, it does not take a colossal amount of money to raise or drop the price of Bitcoins.