precobitcoin

$BTC is notorious for its wild price swings. It can rise or fall significantly within minutes. But why does this happen? Let’s explore some of the key factors that make the price of Bitcoin so volatile.
1. Supply and demand dynamics
Bitcoin’s value is directly dependent on supply and demand. With a limit of 21 million bitcoins, any increase in demand or decrease in supply can impact the price. This makes Bitcoin especially sensitive to market changes.