future: Why is crypto going down? When crypto will go up? Factors influencing the price of digital assets

Airdrop Analyst, Trader

What drives up or down the price of digital assets?

I think there are several factors and as follow: 1. Availability vs demand the limited Availability of cryptocurrencies and its uneven distribution to increase its popularity as well as price. The increase in asset prices is partly due to an increase in the number of requests in recent years. 2. Adoption in the real world Many countries have legalized the use of crypto as a means of payment. The adoption of digital currencies into the real world, if done massively or at least legally in many large countries, will increase in value. This is due to the limited number of crypto assets. And by being adopted into real life, the demand will increase and of course trigger price increases. 3. Miner production costs The cost to mine crypto money is one of the determining factors for the price of the cryptocurrency. For example, bitcoin has a high production cost because it has to have special hardware which is usually assembled with classy and expensive hardware, CPU, GPU, server, and cooling system as well as electricity costs incurred. 4. Regulation Although digital currency cannot be intervened by any government because of its decentralized system, when cryptocurrencies enter the mainstream of a country's financial system, then that country can intervene which of course can affect the price of cryptocurrency. For example, China banned bitcoin mining throughout its territory, UK banned Binance, the world's largest crypto asset trading company, from operating in its country. There is also the discourse of imposing taxes on cryptocurrencies in Indonesia which is still being discussed by the relevant agencies. Interventions like these can impact crypto prices globally. 5. Important figures One of the most obvious examples is Elon Musk who often tweets about certain cryptocurrencies on his Twitter account. So great is Elon's influence on the crypto world, with just one tweet, he could inflate the price of Dogecoin, which was included in his tweet. 6. Fear and greed The greedy nature of the public who buys a lot of crypto money like bitcoin when there is no price movement means that in the future the price will rise even higher. The more people who buy cryptocurrencies, the higher the price of the cryptocurrency and this affects other people to buy bitcoins too. When the price of bitcoin has almost touched its highest price, many people are trying to make a profit by selling their bitcoins. The more people who sell their bitcoins, the more the bitcoin price will fall.

What’s your most important priority when choosing the right project/token/coin?

My main priority is that I must be consistent with the project and help it progress to a successful one. And when I hold the project, I must confidently not be easily provoked by other people/FOMO.

Mor-Wey Logistics Limited

What drives up or down the price of digital assets?

Crypto trading is like the stock market trading. The direction of the prices is usually guided by the influx or withdrawal of invested market capital. A project with a surge in its market capital indicates more funds from investors and people pay attention to such details. The scarcity of the assets. The simple basic principle of economics applies here as well. When the quantity of an asset in circulation is high above 50% of its total supply, it indicates that its investors are holding and not selling. Such indication points towards prospect and everyone would want to have some in their bag. Information, sometimes rumours can cause an accumulation of assets by investors or its panic sell. Positive information most times yields good results if it's feasible and negative information has its own effect as well.

What’s your most important priority when choosing the right project/token/coin?

Before investing in any project, it is important to pay attention to its use case and road map. What are their plans, their vision? How does it ameliorate societal problems? How does it empower sustainable development of our economic, social and financial problems? Does it advance any particular sector in technology in respect to the future? The objective and goal of a project is imperative when making investments. This in a way gives confidence of its longevity and perhaps, its success as a business. Then comes the money. How much is invested, and in what duration? Who are they partnering with? What is expected in return? These questions helps steer one in making a decision on whether or not to invest. Of course, there are projects with good white paper but they never seemed to make it. Yet, the right questions and good research helps limit the risks of fake investments and guides one on the direction with prospects.

OTC Deals. ICO Advisor at Cryotoknowmics, BITOZZ and More, Strategy, Investor Relations, Big Network in The Cryptospace

What drives up or down the price of digital assets?

Behind every market are actual real people. And those people go through specific cycles in their emotions which influence their behavior, which influences price action. Let me explain: If traders perceive, that the market is a bull market, they trade by betting on price going up and setting stop losses at certain levels. There are always bears and bulls fighting about price direction. Bears may then try to bring price down, but if the bulls are stronger, price will keep moving up. If the bears win, price will go down. Also the market so far, in crypto, moves in 4 year cylces. About one year after each BTC halfing we get a bull market, because BTC gets more scarce. After BTC , ETH and then the oher ALTS move up. Once the bull market peaks price will reach a low point approx. one year later and then consolidate for 2-3 yeas before the next halfing takes place and everything starts all over. This time, we have much more money in the market because of institutional investors looking to get their piece of the pie. This is why many people think,this cylce could extend much longer. Nobody knows for sure though. I don`t want to go on tooo long. Conclusion is: Emotions of traders play a huge role if prices rise or fall. Furthermore the whales(holders of a huge amount of a specific coin) play their "games" and can move the market, cause fake-outs and the like. And last but not least - the news that hit the market also have an impact on how people feel - which in return impacts their trading behavior/price movements.

What’s your most important priority when choosing the right project/token/coin?

Real use case of the project. Do they solve some kind of real problem. Is the team behind the projec able to actually pull it off? Do they have some hype or not? For short term: where is the token in it`s cycle? For long term: will the project be a real game-changer and be needed in the future?

What drives up or down the price of digital assets?

maybe the movement factor of BITCOIN and BITCOIN Domination, or market demand that makes a certain digital asset or coin go up or down, and maybe from the event factor held by a certain coin developer.

What’s your most important priority when choosing the right project/token/coin?

Of course, what needs to be considered is the coin/token project, whether the price will potentially increase in the future, and the activeness of the coin developer in building the community.

Senior Research Technician

What drives up or down the price of digital assets?

Usually new partnership or new updates pushes the price up or down. but at the end is the market sentiment wither it’s a (bull/bear) market the price behave accordingly, insiders is always first pile in followed by Retail investors

What’s your most important priority when choosing the right project/token/coin?

What new innovation they’re bringing to crypto sphere ! Will it be useful for the future, will the project have it own place among others or can it be replaced ? Is the project/coin/token fully compliant with the rules & regulations set by governments or at least the area were you’re living ?

Self Employed

What drives up or down the price of digital assets?

It all depends on the Market value of the blockchains and cryptocurrency’s value which affects the rise and fall also known as drives up and down

What’s your most important priority when choosing the right project/token/coin?

The most important priority when choosing the right project/token/coin is The future estimate or prediction of the price or value of the token coin

Student

What drives up or down the price of digital assets?

There are several things that affect the rise and fall of the price of Crypto Assets, some of which are as follows: The price of Crypto Assets depends on the balance of supply and demand. This is the law of the market. When a Crypto Asset is popular and in high demand then its price will go up. Vice versa, if supply is high while demand is low, prices will fall. News or media coverage can affect the price of Crypto Assets. An example is if there is news about hacker attacks on crypto servers, or even good news about increasing adoption and infrastructure behind crypto technology. Crypto Asset price volatility is largely based on hype which often keeps interest high. The sharp drop in price can be affected by a post on social media and a deliberate remark of a famous person in the Crypto Asset world. In the area of ​​Crypto Assets, news really has a significant influence on the situation on the market

What’s your most important priority when choosing the right project/token/coin?

the steps I take are following the community, fundamental analysis, technology, whitepaper and vision. Every time a new cryptocurrency is released, they usually issue a white paper as well. It will outline the coin's purpose, technology, how it works, and the overall vision. The vision of cryptocurrency is very important, because to ensure how the existence of this coin is at least 5-10 years into the future. Without a clear vision and mission, the coin will struggle to become a real competitor or disruptor in the industry.

engineer

What drives up or down the price of digital assets?

whale must be in work and pumping and dumping crypto..its not fair for other holder ..its really seriously case in future of crytocurrency. i hope it change and whale must be destroy

What’s your most important priority when choosing the right project/token/coin?

most important priority when choosing the right project/token/coin is liquidity ..token supply ..developer ..demans ..roadmap ..value ..usefull ..easy to swap no locking

I am a forex trader

What drives up or down the price of digital assets?

When buyers send order buy in market price want growing. And when they send orders sell price want go down. Market is only support and resistance.

Financial invester

What drives up or down the price of digital assets?

I think people now need more and more ways to keep their properties. All of things they know now there are some methods like buying gold or dollars. But when they know crypto and digital assets can keep their money and help them grow up the prices in the future, they now choice crypto. That make crypto market more actract people to invest their money in. Another thing that they can keep it in secretary and keep away from the tax, money flation, being take away or take by the theif. Cryto market now have more and more worth for keeping property, the prices grow up every day, everyweek and every month. That i think it help crypto market be grown up in the future.

What’s your most important priority when choosing the right project/token/coin?

That is very important, because chose wrong currency will make us lose some or all of our investment. So we have to know what is the meaning of the crypto we invest in. How the crypto working and how the cryto running in the market.

This is not a financial advice. Please do your own research and consider the risks of trading cryptocurrencies.