We all have been hearing about cryptocurrency since 2009 when it popped up on news from time to time making regular people, economists and IT professionals discuss its future. Now it sounds ridiculous, but back then people were sure Bitcoin had no chance. How could this unsung hero become a worthy adversary to the sharks of financial world? But in 2017 it actually made the whole planet gasp. Its rates skyrocketed instantly making people turn all their savings in Bitcoin or altcoin.
On this wave many of those, who had never dealt with investments or cryptocurrencies decided to try themselves as brokers. They had to spend hours learning stock exchange laws, currency rates, make thorough researches on howtotoken and even sold their houses just to have more money for trading. The others arranged real mining farms in their basements to get c-money almost for free (but with those enormous electricity bills). However, all of them were bothered with one question: what defines cryptocurrency rate?
In the era of Internet, television and press there is hardly anyone who is taking serious steps without checking this or that issue in media or online. The same with cryptomoney: the more sources show off positive attitude to it – the higher is its rate. This factor defines not only Bitcoin’s rate, but any altcoin’s or even company’s rate, too. The last one can go broke after a single revelatory article in press.
- Legal Status
If any country proclaims Bitcoin illegal, its rate goes down immediately. For instance, China People’s Bank recently announced all Initial Coin Offering temporary suspended which caused immediate price slump. All countries understood that although China proclaimed this ban as ‘temporary’, they actually placed all cryptomoney operations behind the law. If such huge country as China proclaims ICO illegal on its territory – all banks all over the world consider it less valuable than it was before.
And it works vice versa too. If any country in the world grants cryptocurrency with legal status (just like Japan did recently) – its value goes up.
What do we mean by ‘accessories’? Anything that can help boosting cryptomoney popularity in our daily life:
- ATM machines;
- Blockchain technology;
- new options for altcoin use, etc.
The deeper it implements into our lives, the higher is its value. People are ready to pay more money for anything they can hardly live without.
No matter how hard we hate the fact that all altcoins are tightly connected to Bitcoin (for rare exception), it is that sad truth we should accept and live with it. If Bitcoin rates go down – the cryptomoney market feels the changes immediately. Experts promise that with time situation might change and all c-money will exist separately. But for now we have to be very careful, taking into consideration all these factors.