Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

Hazel Tucker

Who decides the price of Bitcoin?

Recommended Posts

I am new to the world of bitcoins and cryptocurrency and this question hit my mind recently.

Bitcoins are gaining popularity at a faster pace but will anybody make it clear to me that who decides the price of these bitcoins?

Share this post


Link to post
Share on other sites

Hazel,

It’s the same with crytos as with any market - the next price change is determined by the most motivated participant(s).  When motivated buyer(s) take the ask, price up ticks and the ask is moved higher.  When motivated seller(s) accept the bid, price down ticks and the bid is moved lower.   Whether in slow increments or sudden crescendos, that how all prices move / are “decided”.   

hth

Share this post


Link to post
Share on other sites
On ‎25‎/‎07‎/‎2018 at 3:20 PM, zdo said:

Hazel,

It’s the same with crytos as with any market - the next price change is determined by the most motivated participant(s).  When motivated buyer(s) take the ask, price up ticks and the ask is moved higher.  When motivated seller(s) accept the bid, price down ticks and the bid is moved lower.   Whether in slow increments or sudden crescendos, that how all prices move / are “decided”.   

hth

thanks for explanation. It makes a lot of sense.

will bitcoin can experience any bankruptcy ?

If so, how it can happen and how it can affect investors ?

Edited by BullFX

Share this post


Link to post
Share on other sites

BullFX

BTC itself could 'experience' a 'bankruptcy'... either suddenly or gradually

Suddenly could come by blockchain suddenly being digitally totally and completely corrupted beyond recovery. Not possible?  Some things to consider :  hackers esp those state 'sponsored' (think nsa, etc) can infect any and all connected devices at will and at once...  and 'norton' wouldn't help you one bit... more likely they would be complicit...

Gradually could come as the economics of the model gradually sink in... blockchain transactions are viciously expensive and slow, the whole process of 'mining' is an energy heavy lottery, etc etc.,  plus BTC can now be tracked and taxed, etc, etc... ie the initial features and benefits of BTC get gradually chipped away

Either suddenly or gradually could come with grid down, etc etc... countless hodlers don't even have their certificates on hard copy...

still - BTC is a good 'trade' vehicle ... esp now that there are instruments amenable to shorting it...  esp if you like high price variability (more commonly and incorrectly known as volatility)

The only 'investors'  in BTC are miners.  All other participants are 'traders'.  BTC selling below mining costs and 'investors' are  gone.  BTC selling significantly below where individual traders bought and they abandon the trade and the instrument...

have a great day,

capt obvious

Share this post


Link to post
Share on other sites

Markets shouldn't be selling off on the ETF news overnight because we told it would be pushed back to the end of September a few weeks ago

I have a theory. The long term whales are selling to destroy the media price manipulation. I think the Bloomberg crypto team take personal positions then try and move the market in their favour through their tweets. Whales have caught on an are destroying their trades. Bloomberg crypto tweet in clumps and often post the same tweet again a few days later.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

  • Similar Content

    • By mattz
      OEC Trader is now called Gain Trader and the Gain API now allows you to have simultaneous connection to mobile and web. 
      Thanks, 
      Matt Z 
      Optimus Futures www.optimusfutures.com 
      There is a substantial risk of loss in futures trading. Past performance is not indicative of future results. 
    • By solahola
      Bitcoin already for the third time approached the annual lows, and this time there is a high probability
      breaking low and continuing further down the trend.
      If the BTC were pulled up, then dynamics would be noticeable, so far only low-level testing,
      which usually turns into a breakout on a falling trend.
      The screenshot shows local large volumes of days, and total volumes for 1.5 months.
      The market should respond to these levels as indicated in the screenshot.
      All successful trades.

    • By solahola
      Hello,   Here is a Bitcoin’s brief review/overview on volumes` levels. For the moment,  BTC is at annual minimum and market hasn`t  yet determined. In range between 6770-6080 are already a lot of volumes accumulated. Levels worth paying attention to both in case of further fall and also in case of rise when leaving the mentioned range are displayed at the screenshot.  (volumes from Bittrex stock exchange)
    • By solahola
      Good afternoon.
      Here is a Bitcoin’s brief review on volumes` levels. For the moment,  BTC is at annual minimum and market hasn`t  yet determined.
      In range between ~ 6770 - 6080 are already a lot of volumes accumulated. Levels worth paying attention to both in case of further fall and also in case of rise when leaving the mentioned range are displayed at the screenshot. 
      (Volumes from Bittrex stock exchange)

    • By solahola
      Good afternoon.
      Here is a Bitcoin’s brief review on volumes` levels. For the moment,  BTC is at annual minimum and market hasn`t  yet determined.
      In range between ~ 6770 - 6080 are already a lot of volumes accumulated.Levels worth paying attention to both in case of further fall and also in case of rise when leaving the mentioned range are displayed at the screenshot. 
      (Volumes from Bittrex stock exchange)

  • Topics

  • Posts

    • $FNSR (FNSR) Finisar stock strong close with a bull flag breakout,



      analysis https://stockconsultant.com/?FNSR
    • yeah i have to agree the FCA is solid and they are continuing to improve drastically 
    • First day back from Fiji. 2 small losses today. Nothing much I could have done differently. Good trades, good exits. There was a second trade on ANET (blue line). I skipped that trade by mistake. At the time of entry, I thought it would not work because the first one didn't work. That is a classic prediction error. I cannot know what will happen next. The goal is not to predict but to execute properly. 
    • The HotForex trading accounts have been improved! You asked, and we listened!  Dear Traders, We are happy to announce that we have made some great improvements to several of our account types, that we are sure will enhance your #trading experience with this global broker of choice.  Take a look at our new account requirements here:
      If you require further clarifications or assistance regarding the above changes, kindly contact our Support Team. We remain at your disposal and are happy to help you understand the changes and adjust your trading so as to help this transition be as seamless as possible. Best regards, The HotForex Team
    • $AVGR (AVGR) Avinger stock strong volume +319% with a bottom breakout watch,



      analysis https://stockconsultant.com/?AVGR
×

Important Information

By using this site, you agree to our Terms of Use.