What are the 5 reasons that bitcoin cryptocurrency prices are on the rise?

bitcoin cryptocurrency prices are on the rise

Bitcoin price and other cryptocurrencies have been slowly growing in popularity and value, and this has lead to bitcoin cryptocurrency prices on the rise. If you’re wondering what the 5 reasons that bitcoin cryptocurrency prices are on the rise, here are some of the biggest factors behind this growth.


1) Demand is Increasing

The most obvious reason why bitcoin prices are increasing is because demand for bitcoins is high. As more people use bitcoins, more people are interested in buying them. People want bitcoins for investment purposes, as an alternative to traditional currency, and as a medium of exchange with which to buy things. This is pushing up demand for bitcoins, pushing up their price—as simple supply and demand economics dictate.


2) Acceptance is Increasing

As more and more people learn about Bitcoin price and cryptocurrencies, acceptance will increase. The general population is becoming aware of Bitcoin as a valid payment option, which is spurring new companies to integrate with Bitcoin as a method of payment. This is also creating new opportunities for earning through Bitcoin as an investment. As more avenues become available for earning and spending Bitcoin, its value will continue to increase.


3) Regulations are Becoming Clearer

Governments around the world are finally beginning to formulate clear regulations for bitcoin, making it easier for businesses to start accepting digital currency. For example, in Japan, lawmakers have outlined how cryptocurrencies will be taxed and what forms of ID customers will need. This is great news for all customers who want to pay with bitcoins but don’t want to worry about price volatility! Also, governments clarify regulations because they recognize there is real value in having a safe place to park your money. If your account is protected by FDIC insurance (in America), you can sleep well at night knowing your money will still be there tomorrow.


4) Supply is Decreasing

The recent surge in price may be partially due to geopolitical concerns. There is currently some speculation about what might happen if Greece decides to leave Europe, for example. Greek citizens would no longer be able to use euros or European banking services; instead, they’d likely have to use something like Bitcoin (or another crypto currency) if they wanted to stay connected economically. If Greece exits Europe, it could further fuel uncertainty with other euro zone members—and in turn drive up demand for cryptocurrencies throughout Europe and elsewhere. Another example of geopolitical turmoil that could impact cryptos is ongoing conflict between Russia and Ukraine—Russia invaded Crimea last year and tension remains high today in Eastern Ukraine.


5) Geopolitical Issues Can Drive Up Prices

Bitcoin, a digital currency supported by a decentralized network of computers around the world, has no inherent value. But as with any commodity, it does have intrinsic value—the same reason why gold and silver have served as money for centuries. Geopolitical instability can give bitcoin—or anything else for that matter—real-world value as people look to safe havens such as gold and digital currencies to protect their wealth. While bitcoins might not seem like much now, what will they be worth if Vladimir Putin invades Latvia or Barack Obama is impeached? If you're willing to take a risk and invest in something that could someday be valuable due to unpredictable geopolitical events, then you should go ahead and buy some bitcoins today.

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