The impact of rising bitcoin prices
Publish: 2021-03-29 16:54:27
1.
When it comes to bitcoin, many people must be familiar with it. According to the latest news, bitcoin's price has now exceeded nearly $30000< the reason for the sharp rise of bitcoin is e to certain economic impact{ RRRRR}
so it also pushed the price of bitcoin to a new high. In the second half of the year, this new pneumonia epidemic has also had a negative impact, so it has also implemented a loose monetary policy for all countries< however, we all know that bitcoin is equivalent to the encrypted virtual currency of a mainstream guy, so at this time, it has become a corresponding investment for many investment institutions who want to fight against inflation so at this time, the price of bitcoin has been raised accordingly, so it is also possible for each of us to carry out corresponding work. All this is e to the current economic situation, which leads to the rise of bitcoin
2. As a financial technology enthusiast, kuanke online Xiaobian, I think, there are several major factors to promote
1, the short-term factors that determine the price: supply and demand and market sentiment
the relationship between supply and demand means that if the amount of money spent on buying bitcoin is more than that spent on selling bitcoin, the price of bitcoin will rise. If more people buy bitcoin, it will rise
market sentiment refers to the views of the market and the media on the price trend of bitcoin at that time. When many people strongly see bitcoin, the market sentiment is confident, and the price of bitcoin will rise rapidly. If the media makes pessimistic reports on the price of bitcoin, it will affect people's confidence and lead people to sell bitcoin, and the price of bitcoin will fall
2, the medium-term factors that determine the price: policy, news and mining cost
on the policy side, it is the policy attitude of governments towards bitcoin. For example, the recent crackdown and regulation of bitcoin by the South Korean government has led to a sharp drop in the price of bitcoin in the near future. If more and more countries support and encourage the development of bitcoin, the price of bitcoin will be higher and higher. On the contrary, if many countries begin to suppress bitcoin, the price of bitcoin will continue to fall
on the news side, there are some important things in the bitcoin instry. For example, around December, the two major stock exchanges in the United States launched bitcoin futures, which are good for bitcoin and directly push the price of bitcoin up to about $20000
mining cost is the cost of bitcoin miners using machines to dig out bitcoin. At present, the cost of digging out a bitcoin is about 12000 US dollars, so it is difficult for the price of bitcoin to fall below 12000 US dollars. Mining cost is the bottom line of bitcoin price. With the continuous increase of mining costs, the reason is that more competitors enter the mining field, especially many large institutions, companies and countries
3 determines the long-term price factors: the US dollar trend, the global bubble, the official digital currency, and the block chain technology.
the trend of the US dollar. According to the personal analysis data, the US dollar will weaken in the next few years, which means that the global monetary system with us dollar as the world currency in the past will be rebuilt. The rise and future of bitcoin is to assume the identity and mission of the world currency
global bubble. Since the United States abolished the gold standard Bretton Woods system in 70s, many countries in the United States have been printing banknote printing machines. The bubble of currency has caused the global economic bubble and asset bubble. The global economic crisis triggered by the US subprime mortgage crisis in 2008 is the crisis triggered by the currency bubble. At present, the global economic bubble and asset bubble have reached the critical point of collapse. The birth of bitcoin was e to the reason of the currency bubble, which made people no longer believe in the currency of national credit, and began to believe and recognize bitcoin.
official digital currency, countries around the world have begun to prepare to issue official digital currency, that is, digital currency issued by countries. Venezuela has issued a national level digital currency - Petroleum currency. Israel is preparing to issue it, Russia is also preparing to issue it, and the Japanese government is issuing it. 2018 will become the first year of the global official digital currency. The accelerated launch of official digital currency and its increasing popularity show that the value of bitcoin as internet currency is unlimited.
1, the short-term factors that determine the price: supply and demand and market sentiment
the relationship between supply and demand means that if the amount of money spent on buying bitcoin is more than that spent on selling bitcoin, the price of bitcoin will rise. If more people buy bitcoin, it will rise
market sentiment refers to the views of the market and the media on the price trend of bitcoin at that time. When many people strongly see bitcoin, the market sentiment is confident, and the price of bitcoin will rise rapidly. If the media makes pessimistic reports on the price of bitcoin, it will affect people's confidence and lead people to sell bitcoin, and the price of bitcoin will fall
2, the medium-term factors that determine the price: policy, news and mining cost
on the policy side, it is the policy attitude of governments towards bitcoin. For example, the recent crackdown and regulation of bitcoin by the South Korean government has led to a sharp drop in the price of bitcoin in the near future. If more and more countries support and encourage the development of bitcoin, the price of bitcoin will be higher and higher. On the contrary, if many countries begin to suppress bitcoin, the price of bitcoin will continue to fall
on the news side, there are some important things in the bitcoin instry. For example, around December, the two major stock exchanges in the United States launched bitcoin futures, which are good for bitcoin and directly push the price of bitcoin up to about $20000
mining cost is the cost of bitcoin miners using machines to dig out bitcoin. At present, the cost of digging out a bitcoin is about 12000 US dollars, so it is difficult for the price of bitcoin to fall below 12000 US dollars. Mining cost is the bottom line of bitcoin price. With the continuous increase of mining costs, the reason is that more competitors enter the mining field, especially many large institutions, companies and countries
3 determines the long-term price factors: the US dollar trend, the global bubble, the official digital currency, and the block chain technology.
the trend of the US dollar. According to the personal analysis data, the US dollar will weaken in the next few years, which means that the global monetary system with us dollar as the world currency in the past will be rebuilt. The rise and future of bitcoin is to assume the identity and mission of the world currency
global bubble. Since the United States abolished the gold standard Bretton Woods system in 70s, many countries in the United States have been printing banknote printing machines. The bubble of currency has caused the global economic bubble and asset bubble. The global economic crisis triggered by the US subprime mortgage crisis in 2008 is the crisis triggered by the currency bubble. At present, the global economic bubble and asset bubble have reached the critical point of collapse. The birth of bitcoin was e to the reason of the currency bubble, which made people no longer believe in the currency of national credit, and began to believe and recognize bitcoin.
official digital currency, countries around the world have begun to prepare to issue official digital currency, that is, digital currency issued by countries. Venezuela has issued a national level digital currency - Petroleum currency. Israel is preparing to issue it, Russia is also preparing to issue it, and the Japanese government is issuing it. 2018 will become the first year of the global official digital currency. The accelerated launch of official digital currency and its increasing popularity show that the value of bitcoin as internet currency is unlimited.
3. Reasons for the rise: 1. Self: Decentralization (institutions can't freeze your bitcoin), difficulty in cracking, and certain anonymity. 2. When social problems occur, people worry about the preservation of traditional currency: for example, in 2013, in order to obtain the EU's 10 billion euro emergency aid loan, the government of Cyprus will levy a deposit tax on local bank depositors. In order to avoid policy risks, the public scrambled to change their currency into bitcoin. Then it spread to many countries in the euro area. It triggered bitcoin's first massive rise. For example, the new crown black swan event in 2020, the global "big water release" (negative interest rate), the decline of the influence of the US dollar, and the people and the government need the means to maintain the value of assets. 3. With the popularity of blockchain, a large number of institutions have entered the market. Traditional financial institutions, listed companies, and paypal have all promoted the rise of bitcoin. However, e to the limited supply, the demand has increased greatly, which has promoted the price rise.
4. Hello, there are three reasons for the surge
reason 1: the cost of mining bitcoin may be further increased
bitcoin is deflationary in nature, which means that the proction of bitcoin will decrease over time. The key is that in the near future, the return of bitcoin mining will be reced from 25 bitcoin to 12.5 bitcoin
the price halving will take place when the 420000th block of bitcoin is g up, which is likely to come in the next few weeks. We don't know how market prices will be affected at that time, but several news reports say that the price surge in the past week may be partly e to the imminent pressure of reced mineral supply< The second reason is that the public's interest in bitcoin has been rekindled by the speculation on the new e-currency.
Ethereum, as a blockchain technology, has been strongly supported by banks and VCs, and has been talked about a lot by experts in science and technology circles. In short, many people think that Ethereum is faster and more reliable than bitcoin, and may even replace bitcoin as a better electronic currency
the emergence of competitors is of course bad news for bitcoin. However, an article on the quartz website assumes that the rise in the price of Ethereum may in turn stimulate the price of bitcoin. But so far, there is no evidence that there is a strong correlation between the two e-money prices
the third reason: China, China, China
China seems to be the most convincing reason behind the soaring price of bitcoin The Wall Street Journal said:
at present, about 92% of the global bitcoin transactions are completed on huobi.com and okcoin, two Chinese bitcoin trading platforms. The rise in bitcoin prices over the weekend may be just the latest sign that Chinese investors are shifting money between different assets in search of higher returns
China's economic situation has influenced the fluctuations of bitcoin in the past. Therefore, we have reason to believe that this round of inflation is also related to China
at the same time, experts also mentioned the Chinese investor effect in their comments on reddit and twitter, and they think that this effect may not last long. If it turns out that the buying frenzy of bitcoin is just a passing stop for asset transfer to other forms, the current crazy situation will end.
reason 1: the cost of mining bitcoin may be further increased
bitcoin is deflationary in nature, which means that the proction of bitcoin will decrease over time. The key is that in the near future, the return of bitcoin mining will be reced from 25 bitcoin to 12.5 bitcoin
the price halving will take place when the 420000th block of bitcoin is g up, which is likely to come in the next few weeks. We don't know how market prices will be affected at that time, but several news reports say that the price surge in the past week may be partly e to the imminent pressure of reced mineral supply< The second reason is that the public's interest in bitcoin has been rekindled by the speculation on the new e-currency.
Ethereum, as a blockchain technology, has been strongly supported by banks and VCs, and has been talked about a lot by experts in science and technology circles. In short, many people think that Ethereum is faster and more reliable than bitcoin, and may even replace bitcoin as a better electronic currency
the emergence of competitors is of course bad news for bitcoin. However, an article on the quartz website assumes that the rise in the price of Ethereum may in turn stimulate the price of bitcoin. But so far, there is no evidence that there is a strong correlation between the two e-money prices
the third reason: China, China, China
China seems to be the most convincing reason behind the soaring price of bitcoin The Wall Street Journal said:
at present, about 92% of the global bitcoin transactions are completed on huobi.com and okcoin, two Chinese bitcoin trading platforms. The rise in bitcoin prices over the weekend may be just the latest sign that Chinese investors are shifting money between different assets in search of higher returns
China's economic situation has influenced the fluctuations of bitcoin in the past. Therefore, we have reason to believe that this round of inflation is also related to China
at the same time, experts also mentioned the Chinese investor effect in their comments on reddit and twitter, and they think that this effect may not last long. If it turns out that the buying frenzy of bitcoin is just a passing stop for asset transfer to other forms, the current crazy situation will end.
5.
Bitcoin burst in one day, and the price of 3.7 billion bitcoin keeps rising. For those large holders, they don't care, because the price rise of bitcoin is related to them, they buy a lot, which leads to the price rise, but it has an impact on retail investors 
if you also like to invest, you can consider the fund, because although the fund is in the summer now, you have to say that it is a time when it can make a bottom. As for whether this is the real bottom, I don't know. However, the risk of the fund is much lower than that of the special currency, and the risk of the stock is higher, However, the stock trading system has been mature, it does not have so many trading risks, at most is the risk of price changes
6.
for bitcoin, such a virtual currency, if frequent large-scale rise, the entire capital market and investment field will have a certain impact, because for most investors, they can not find out the intrinsic value of such investment procts, and this asset behavior exists relatively large financial bubble. So for this unique virtual proct, its existence for the entire capital market, although it is a supplement to the financial attributes, but there are also many problems{ RRRRR}
and bitcoin skyrocketing will lead to a very big financial bubble, bitcoin prices are very unstable, often in a few days, there are very large fluctuations and ups and downs, for most ordinary investors, they simply can not afford this large increase and fall, so many investors will be a huge decline because of a number of non return. Even for some investors with poor psychological enrance, they may lose their lives directly because of investment failure. Therefore, the uncertainty of bitcoin price also has a certain impact on social stability. So for bitcoin, its investment risk is very large, and for the whole economy and society, it will increase the systemic risk of the whole society
7. A: there are three mining sites. The first one is at the mouth of labang mine, the second one is at labang gold mine, and the third one is at labang crystal mine
8. The concept of bitcoin was first proposed by Nakamoto on November 1, 2008, and was officially born on January 3, 2009. According to the idea of Nakamoto, the open source software is designed and released, and the P2P network on it is constructed. Bitcoin is a virtual encrypted digital currency in the form of P2P. Point to point transmission means a decentralized payment system. Unlike all currencies, bitcoin does not rely on a specific currency institution to issue. It is generated by a large number of calculations based on a specific algorithm. Bitcoin economy uses a distributed database composed of many nodes in the whole P2P network to confirm and record all transactions, and uses cryptography design to ensure the security of all aspects of money circulation. The decentralized nature and algorithm of P2P can ensure that it is impossible to artificially manipulate the value of bitcoin through mass proction. The design based on cryptography can make bitcoin only be transferred or paid by the real owner. This also ensures the anonymity of money ownership and circulation transactions. The biggest difference between bitcoin and other virtual currencies is that the total amount of bitcoin is very limited and it has a strong scarcity
warm tips:
1. According to the notice and announcement issued by the people's Bank of China and other departments, virtual currency is not issued by monetary authorities, does not have monetary attributes such as legal compensation and compulsion, is not a real currency, does not have the same legal status as currency, and cannot and should not be used as currency in the market, Citizens' investment and transaction of virtual currency are not protected by law
2. The above explanation is for reference only. Before investing, it is suggested that you first understand the risks existing in the project, and clearly understand the investors, investment institutions, chain activity and other information of the project, rather than blindly investing or mistakenly entering the capital market
3. Investors should not use such information to replace their independent judgment or only make decisions based on such information, which does not constitute any investment operation
response time: February 4, 2021. Please refer to the official website of Ping An Bank for the latest business changes
[Ping An Bank I know] want to know more? Come and see "Ping An Bank I know" ~
https://b.pingan.com.cn/paim/iknow/index.html
warm tips:
1. According to the notice and announcement issued by the people's Bank of China and other departments, virtual currency is not issued by monetary authorities, does not have monetary attributes such as legal compensation and compulsion, is not a real currency, does not have the same legal status as currency, and cannot and should not be used as currency in the market, Citizens' investment and transaction of virtual currency are not protected by law
2. The above explanation is for reference only. Before investing, it is suggested that you first understand the risks existing in the project, and clearly understand the investors, investment institutions, chain activity and other information of the project, rather than blindly investing or mistakenly entering the capital market
3. Investors should not use such information to replace their independent judgment or only make decisions based on such information, which does not constitute any investment operation
response time: February 4, 2021. Please refer to the official website of Ping An Bank for the latest business changes
[Ping An Bank I know] want to know more? Come and see "Ping An Bank I know" ~
https://b.pingan.com.cn/paim/iknow/index.html
9. Supply and demand
when compared with other virtual currencies, bitcoin always mentions "21 million fixed output". In the early years, bitcoin had not been exposed to investors in a large area. It proced a lot and g a lot, but there was no demand. But now purchase bitcoin, the price is expensive, the output is small, the demand is big
we believe that when there is an imbalance between supply and demand, the price of goods will be affected. Influenced by the policy, many bitcoin holders are now keeping a wait-and-see attitude. The decrease of bitcoin in circulation in the market and the increasing demand for bitcoin in the market are bound to push the price up, but in fact, it will not be the investment speculators who come into the market at this high level who will benefit in the end
popularization of regional chain
the report released by professional institutions mentioned the problem of regional chain technology. The report shows that by 2027, the global investment value of regional chain technology will reach 300 billion to 400 billion US dollars. And the regional chain as an infrastructure development, will be applied to more and more scenarios
at that time, whether the popularity of regional chain will raise the price of bitcoin is also full of uncertainty
investor confidence remains unchanged
although many institutions and financial giants are short of bitcoin, investors are still confident in the future value of bitcoin. After all, in history, is there any trading proct that can soar 7.54 million times in eight years
professional agency analysts said that 10 years ago, the impact of the financial crisis had so far failed to get rid of the shadow of many countries, and the share price bubble continued to expand. Investors would worry whether the original financial system would collapse again. Bitcoin, which has a strong performance, will attract more investors with capital inflows, thus driving up prices. In a way, bitcoin is already a safe haven
although the trading of bitcoin was suspended by China in September 2017, bitcoin surged by more than 233% after de Sinicization< In November 2017, bitcoin began to hard bifurcate, that is to say, dividing the regional chain into two, which is equivalent to doubling the issue of bitcoin, which means that the value of bitcoin will be diluted. Affected by the impending start of hard bifurcations, bitcoin started on November 9, 2017 and has been in a state of decline for four days
the suspension of the 2x fork originally scheled for November 16, 2017 has eased the anxiety of the whole bitcoin instry chain over capacity expansion, and the market is a little relieved of the possible collapse crisis caused by the fork
bubble greater risk
many investors have seen the bitcoin appreciation and profit margins after they have entered the bitcoin trading market. However, the current domestic large-scale bitcoin trading platform has been completely closed, and the regulatory level has not relaxed the entry of bitcoin into the domestic market
bitcoin, as a speculative commodity, has great bubbles and unknown risks. We tend to ignore the risk, and it is often the risk that damages the funds in our pockets. When participating in a high-risk market, we must reasonably allocate personal assets, such as the allocation of stable financial procts such as stable profit selection investment plan. We must not use all our wealth to allocate high-risk investment procts
in a word, bitcoin has risen dramatically in recent years. It's hard to avoid some words like "you are the richest man in China now if you bought bitcoin eight years ago". But eight years ago, you didn't know that bitcoin could be as brilliant as it is today. You might as well change your vision and look for the next "bitcoin"
the above is the reason why bitcoin's price rises. As much profit as possible, there is as much risk. Although bitcoin has been rising in price, no one is sure in the future. If we must invest in digital currency, we must first control its risks.
when compared with other virtual currencies, bitcoin always mentions "21 million fixed output". In the early years, bitcoin had not been exposed to investors in a large area. It proced a lot and g a lot, but there was no demand. But now purchase bitcoin, the price is expensive, the output is small, the demand is big
we believe that when there is an imbalance between supply and demand, the price of goods will be affected. Influenced by the policy, many bitcoin holders are now keeping a wait-and-see attitude. The decrease of bitcoin in circulation in the market and the increasing demand for bitcoin in the market are bound to push the price up, but in fact, it will not be the investment speculators who come into the market at this high level who will benefit in the end
popularization of regional chain
the report released by professional institutions mentioned the problem of regional chain technology. The report shows that by 2027, the global investment value of regional chain technology will reach 300 billion to 400 billion US dollars. And the regional chain as an infrastructure development, will be applied to more and more scenarios
at that time, whether the popularity of regional chain will raise the price of bitcoin is also full of uncertainty
investor confidence remains unchanged
although many institutions and financial giants are short of bitcoin, investors are still confident in the future value of bitcoin. After all, in history, is there any trading proct that can soar 7.54 million times in eight years
professional agency analysts said that 10 years ago, the impact of the financial crisis had so far failed to get rid of the shadow of many countries, and the share price bubble continued to expand. Investors would worry whether the original financial system would collapse again. Bitcoin, which has a strong performance, will attract more investors with capital inflows, thus driving up prices. In a way, bitcoin is already a safe haven
although the trading of bitcoin was suspended by China in September 2017, bitcoin surged by more than 233% after de Sinicization< In November 2017, bitcoin began to hard bifurcate, that is to say, dividing the regional chain into two, which is equivalent to doubling the issue of bitcoin, which means that the value of bitcoin will be diluted. Affected by the impending start of hard bifurcations, bitcoin started on November 9, 2017 and has been in a state of decline for four days
the suspension of the 2x fork originally scheled for November 16, 2017 has eased the anxiety of the whole bitcoin instry chain over capacity expansion, and the market is a little relieved of the possible collapse crisis caused by the fork
bubble greater risk
many investors have seen the bitcoin appreciation and profit margins after they have entered the bitcoin trading market. However, the current domestic large-scale bitcoin trading platform has been completely closed, and the regulatory level has not relaxed the entry of bitcoin into the domestic market
bitcoin, as a speculative commodity, has great bubbles and unknown risks. We tend to ignore the risk, and it is often the risk that damages the funds in our pockets. When participating in a high-risk market, we must reasonably allocate personal assets, such as the allocation of stable financial procts such as stable profit selection investment plan. We must not use all our wealth to allocate high-risk investment procts
in a word, bitcoin has risen dramatically in recent years. It's hard to avoid some words like "you are the richest man in China now if you bought bitcoin eight years ago". But eight years ago, you didn't know that bitcoin could be as brilliant as it is today. You might as well change your vision and look for the next "bitcoin"
the above is the reason why bitcoin's price rises. As much profit as possible, there is as much risk. Although bitcoin has been rising in price, no one is sure in the future. If we must invest in digital currency, we must first control its risks.
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