What causes Bitcoin to fall? – Love Belfast

Brian Burns / December 16,2022

Bitcoin falls as these relationships are disrupted, and chaos ensues. Bitcoin has been a rollercoaster this year. It’s had highs and lows, and just when you thought it had settled down, it takes off again on yet another unpredictable ride. The platform charges zero commissions on profitable and non-profitable trades for a costless bitcoin trading venture visit to exchange bitcoin with money. What could be causing this sparkly cryptocurrency to rise and fall so unpredictably? It turns out that Bitcoin is inextricably linked to global economic issues; any disruption in supply chain relationships can cause Bitcoin to fall. Let’s discuss all the potential reasons that cause bitcoin to fall.
1. Bad Press:
Bitcoin is falling because of a devastating combination of bad press and political issues. Two destructive press issues that have caused Bitcoin to fall are what people call the “Bitcoin Hack” and China’s crackdown on cryptocurrencies.
First, let’s talk about the “Bitcoin Hack”. Pretty much every single cryptocurrency exchange got hit with hacks in 2018. But bitcoin stood out for being hit by a crippling cyber-attack in late December of 2018. BTC prices were shocked by this hack and the resulting panic selling.
The hack plays a significant role in causing Bitcoin to fall because it’s associated with instability, fear and uncertainty.
Next, we have the recent news out of China that their government will not welcome Bitcoin as payment for goods and services: Chinese government officials are threatening legal action against bitcoin exchanges unless they shut down immediately. They are also imposing strict limits on cryptocurrency trading. China made this decision in 2021, which still impacts the overall cryptocurrency market.
2. Government Regulations:
Government regulations can cause Bitcoin to fall. A government ban on cryptocurrency exchanges, like the one China, recently imposed, is a big red flag for Bitcoin and other cryptocurrencies. The SEC and other regulatory bodies worldwide are cracking down on companies that hold ICOs and tokens promising high returns with little or no risks involved. It is creating more controversy for Bitcoin and affecting its prices because ICOs can be extremely risky. If a company offering an ICO sells securities without registering with the SEC, it can face prison time.
3. Supply & Demand:
 The main factor determining how much bitcoin can buy the value of its currency. Therefore, the price you pay for a bitcoin will be determined primarily by supply and demand. But because there’s just a finite number of bitcoins in existence, the supply is limited. The demand for bitcoin, however, may increase as people learn about it. Thus, predicting how its price will rise or fall is quite tricky.
4. Global Economic Trends:
The global bitcoin market is sensitive to economic trends that affect specific industries and sectors. For example, cryptocurrency prices tend to fluctuate as updated information about national debt levels and unemployment rates is released. The same goes for GDP growth rates which can also impact Bitcoin prices negatively or positively in the long run.
5. Hard Forks:
Hard forks result from people in the industry wanting to make technical changes to Bitcoin. If hard forks aren’t carried out correctly, this can cause significant disruptions throughout the entire cryptocurrency system. Thus, causing Bitcoin to fall.
Hacks of digital wallets or exchanges can easily send cryptocurrency prices reeling. In addition, bad actors might steal your wallet information or use phishing scams to get your private critical information and take over your crypto funds without you ever realizing it.
6. Altcoins and other competitors:
The recent explosion in altcoins and other competing cryptocurrencies has made it nearly impossible to make a price comparison. A shake-up in the crypto-verse can even cause the price of Bitcoin to fall. When people start trading altcoins instead of bitcoin, you can expect more confusion and instability in the market. It will also cause prices to fall due to people selling into weakness.
7. Bad actors:
Bad actors can also destabilize the cryptocurrency market by stealing funds or creating a black market for bitcoin, such as selling drugs or other illegal goods on dark web markets. In this manner, bad actors could be responsible for causing Bitcoin to fall. 
8. Bitcoin whales:
Bitcoin whales are investors with a large amount of cryptocurrency and know enough about the possible outcomes of market fluctuations to affect Bitcoin prices significantly. The key to understanding bitcoin whales is being able to predict their actions. Any movement of a bitcoin whale can cause significant drastic changes in the price of bitcoin.