We have discussed bitcoin trading Philippines, except for the aspects that shape and change their value. As we know, they are not governed by a single entity, and are therefore volatile to certain impacts in the market.
- Public Opinion. Perhaps the biggest determiner in the value of these digital currencies is the level of trust and support that people around the world provide. By their very nature, they require an understanding and acceptance of their value and use, otherwise they are worthless. They are operating as a promise of value and therefore require that everyone agrees that they have value.
- Regulations. We have mentioned before how distrusting many countries' governments are about cryptocurrency. Some ban crypto and others simply have not set up regulations for its use. If more countries start accepting it as a legal currency, the price of it will increase. If further restrictions are applied, then the price will drop.
- Competition. With over 1000 different cryptocurrencies in the market right now, there is certainly no lack of competition amongst them. Since they all serve the same purpose, one crypto's gain is inherently another one's loss. This competition also extends to standard currencies that provide the same role again. This is certainly a factor to consider when selecting crypto trading platforms Philippines.
- Limited Supply. It is easy to forget that there can only be a fixed amount of a certain cryptocurrency. We know that supply directly affects demand and their relationship dictates the value. How many units are currently in the system and the speed of this change, are all factors that weigh into the total value calculation.