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What Causes Bitcoin to Change in Value?

       Ever since the creation of bitcoin a few years ago there have been some problems regarding whether or not it is a risk to invest in the currency. Many of these including hacking and security for some people, but the main reason why there is any risk is because of price fluctuation. The price and value of bitcoin can rise and fall. In fact in 2010 as mentioned before 100 dollars of bitcoin is worth around 75 million dollars today. 

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(6)This rise is what appeals to people and why they want to make investments. Although, there is a fear that bitcoin is a fraud currency and will burst in what's called a "bubble." Robert Shiller a bubble expert says that, "More successful investors bring in more people and eventually something will bring bitcoin to a sudden and painful end." This would cause everyone who has money invested in bitcoin to obviously lose all of their investments and money. 

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Even because of the bubble theory though, it is very improbable because of bitcoin's utter success in the past few years. And with this bubble theory some people still have reasons to be non-believers. One valid point made is that because the currency isn't operated by the government, no one can decrease or increase the flow of money with usage... which is concerning. Now the question comes, what causes this price change? There are many answers to this question, none that are specific. (4)One theory is the simple fact that more people investing hoping for a future price rice, cause the price of the currency to change themselves. Another reason could be that legislation in Japan (where 40% of bitcoin is used) has let retailers accept bitcoin due to a dispute in the digital community and general market turmoil brought upon by global economic uncertainty. Another very possible reason is one that sprouts from the USA. Being, President Trump's desire to weaken the American dollar and make American goods more attractive overseas. Interestingly members of Trump's cabinet have spoken in favor of the cryptocurrency. With these reasons one that is the most likely has been thought of by many professionals and people. North Korea has been tracked for hacking the cryptocurrency in massive amounts which has caused a great disturbance in market. North Korea is notorious for its hackers making the country a great threat against bitcoin that should be watched out for (As seen in my blog).

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