What makes crypto currency go up and down

what makes crypto currency go up and down

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What makes Bitcoin and other CryptoCurrencies go up in value?
The Bitcoin price is defined by supply and demand. When there is more demand for Bitcoin, the price goes up. When there is less demand, the price goes down. According to economic theory, the price of an asset is an intersection of supply and demand. When demand grows faster than supply, the price of cryptocurrency. Bitcoin's price is primarily affected by its supply, the market's demand, availability, competing cryptocurrencies, and investor sentiment. Bitcoin supply is.
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Competition in the Crypto Market Every cryptocurrency is effectively a different implementation of the underlying technologies, and every crypto project is competing to see which functionalities are considered the most useful. Instead, cryptocurrency transactions of popular coins e. If a currency gains mass adoption , its value can shoot through the roof. Thanks to the use of public ledgers, there is no need for a third party to ensure additional trustworthiness or transparency.