How is the price of Bitcoin calculated? A primer on supply and demand | Learn with Luno

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Many people wonder how the price of Bitcoin is calculated, but it’s important to remember that it works no different than it would with other currencies or objects. Let’s first look at how the prices of most things are derived – we can use oranges as an example. What is the price of an orange?

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  1. True butt the difference between crypto value and oather money is that bitcoins have a giant disatvantage to be at the same value it was 1 minute ago. For example whith the apple. If you buy a apple on monday and it cost 1$ and you want to buy again a apple on saturday the new proce of it is only affected by how much apples there are and how many people want it. hit bitcoins you also need to look at how much your money is worth. The $ is pretty stable and Will keep it’s value more likely than bitcoins.

  2. Bitcoin is only supply and demand, any physical object, bonds and shares are supply and demand and assets. The big word is assets which shows you why it’s either so expensive or cheap, trustworthy and worth the price it’s going for. Bitcoin has none, no assets, nothing to show for. They can’t show any amount of users because a big part of the user base it’s anonymous, they can’t say how many transactions because it’s untraceable so the only thing they can show is price. And yeah, it’s valuable but you can’t show why.

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