Cryptocurrency Q&A Why does cryptocurrency fluctuate so much?

Why does cryptocurrency fluctuate so much?

Moonshadow Moonshadow Mon Jan 20 2025 | 7 answers 1575
Cryptocurrency prices seem to go up and down a lot. I'm wondering why they are so volatile and what factors cause these fluctuations. Why does cryptocurrency fluctuate so much?

7 answers

Stefano Stefano Wed Jan 22 2025
The primary factor affecting Bitcoin's price is its supply.

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ethan_lewis_journalist ethan_lewis_journalist Wed Jan 22 2025
Bitcoin operates in a decentralized manner.

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BusanBeautyBloomingStarShine BusanBeautyBloomingStarShine Wed Jan 22 2025
It does not have a central government issuing or regulating it.

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CryptoAce CryptoAce Wed Jan 22 2025
As a result, Bitcoin is not influenced by governmental monetary policies.

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Maria Maria Tue Jan 21 2025
Market demand also plays a significant role in determining its value.

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