Bitcoin is blowing up
Okay now that I have your attention, I need you to focus on what I am about to tell you about the world’s most favored and valuable cryptocurrency. Unfortunately, it isn’t all sunshine and rainbows, and you mustn’t listen to everything you read or hear about it because there are many influential powers behind the scenes, and these powers literally have the power to dictate where the cryptocurrency goes.
Take its meteoric ascension from $3000 in September, to $19,000 in December of the same year where spectators, investors, and economists were all under the impression that this extreme appreciation in value was due to natural causes and flocks of people looking to get a piece of the action. Even though this did have something to do with it, it is not solely responsible, in fact, it has come to light that bitcoin prices were artificially pumped up by traders at professional institutions. People weren’t sure what to make of this information, and to be honest it scared quite a few because they realized how sensitive cryptocurrencies can be, especially bitcoin.
Why checking bitcoin prices is important?
There some cryptocurrency enthusiasts who are happy to throw a bit of money into bitcoin and see where it goes in the next few years, with the hopes of seeing a profit. And then there are those who take it more seriously and have built a knowledge base of different cryptocurrencies and their respective technologies. These are the people that really need to heed this advice, because it could have severe consequences if you don’t. The title of this article is “Why not checking bitcoin prices daily will eventually destroy you” and with armed with the information that traders had infiltrated bitcoin prices and artificially propped them up should be enough to warrant checking bitcoin prices daily.
However, there is much more at play here, because the market is full of buyers and sellers who all get caught up in the daily “volatility” anyone of these people can get caught on the wrong side of the market and get wiped out. Volatility refers to the amount of uncertainty or risk that is associated with the size of changes in an asset’s value, and a high volatility means that an asset’s value can be spread out over a larger range of values. In other words, the price of the asset can change substantially over a short period of time, in either direction. Volatility alone is enough to warrant keeping an eye on bitcoin prices as these can make or break you.
Key to bitcoin price changes
Incoming news events have enough weight behind them to have a direct impact on bitcoin prices and certainly have the power to influence them for the good or for the bad. If a central bank announces that they are looking to incorporate bitcoin into an economy and amend their monetary policy, then this could cause bitcoin prices to skyrocket and it would spell bad news for those who are shorting bitcoin. The important thing is to keep an eye out and be aware of bitcoin prices and how volatility and how the news have a direct effect on the world’s most valuable cryptocurrency