In Essence, Where is The Price of Bitcoin Going?
Essentially, the fluctuation of the price of any commodity or investment product reflects the change in the market supply and demand relationship. Bitcoin is no exception. The main factors affecting its price fluctuations are the buyers and sellers of the market. As bitcoin is a new thing and has not yet become a legal and recognized currency, the function of the currency has not been fully released. Therefore, the market judges its value more controversially, and it also has doubts about the stability of its future development. All these will become important factors that affect the price fluctuations of Bitcoin.
1. The attitude of governments in Bitcoin.
Bitcoin prices may decline when a country announces that it explicitly prohibits or guards against Bitcoin related business activities. Conversely, if a country, especially a more influential country, announces a number of policies that support bitcoin, its price it may rise. Germany’s recognition of Bitcoin as a legitimate “financial banking tool” and the US Federal Court’s determination of Bitcoin as a legal currency in its case law have somehow reinforced people’s confidence in the value of Bitcoin, which is one of Bitcoin’s interest. The price increase has played a big role in promoting.
2. Bitcoin industry operating environment.
Because Bitcoin’s trading scope is still very small, some negative information on a trading platform may affect the price trend of Bitcoin. At the beginning of 2014, the world’s largest Bitcoin exchange platform, Mt.Gox, collapsed due to hacking and poor platform management. This not only caused Bitcoin users on the platform to suffer huge losses, but is also caused a direct decline in global Bitcoin prices. It also indirectly reduced people’s confidence index on Bitcoin.
What Is The Bitcoin Price Prediction 2018?
This is the kind of question that starts arguments at dinner parties. Will Bitcoin rise this year? Will it fall this year? Who knows? What is the Bitcoin price prediction? Even though Bitcoin and its technology are very useful and are changing the world, anybody that claims to ‘know’ whether the price of Bitcoin will rise or fall is a liar. Sorry, but that’s the truth.
I strongly believe that blockchain technology and cryptocurrencies are the future. This is why I believe the price of Bitcoin will increase this year. This is what I believe, but I can never know. All I can do is guess and make a Bitcoin price prediction. You can look at charts, you can look at news, but you can never ‘know’ for sure.
There are people that say Bitcoin is a ‘bubble’ like the ‘dot-com bubble’ that happened when internet companies’ stocks started increasing in price back in the late 1990s. They say that Bitcoin will ‘burst’ in 2018, meaning they think it will crash.
In the dot-com bubble, the stocks got to really high prices. But when the bubble ‘burst’, the stocks went straight back down to low prices. The people that bought the stocks when they were at high prices, lost most of their money. This is why it is important not to invest more money than you can afford to lose.
There are also people — like John McAfee (the founder of McAfee Security) — who predict that the Bitcoin price will keep increasing this year. In fact, John McAfee predicts that Bitcoin will multiply by 10 (increase by 1,000%) in 2018! He also says it’ll be $1,000,000 by 2020. Imagine that!
