Price floors in the Bitcoin economy are not set haphazardly. Instead, they are set through the efforts of two distinct groups: miners that secure the chain and traders that buy and sell in an attempt to make money. Both operate in the same economy, yet how each affects that economy is very different. Understanding how each works can help us understand why prices hold strong in places and why prices do not hold in others.
Short-term price plays and crypto futures
In the fast-moving world of cryptocurrency, short-term price movements are where traders often see the most opportunity. Crypto futures, especially those linked to BTC and ETH, allow traders to make predictions on where the price might move in the next few minutes or hours. More coins are being added to these markets, powered by a smart algorithm that mimics the volatility of real cryptocurrencies.
With this setup, participants can experience raw price action and big win potential without the complexity of setting up wallets or navigating exchanges. According to the Coin Futures crypto platform, this streamlined approach is appealing because it strips the process down to nothing but the price chart and the market’s next move. Additionally, with features such as no KYC requirements and the ability to check out at any time, it’s no wonder that these options have become popular, mostly among traders.
How Bitcoin miners impact the market
Miners are the backbone of Bitcoin’s growth. Each block that a miner mines authenticates transactions and records them in the blockchain. In compensation, a miner gets a block reward, today consisting of newly minted Bitcoins and transaction fees. A miner’s revenue is these rewards, but they also create a direct link to the market because the majority of miners must sell a piece of their revenue to account for electricity, hardware, and operational expenses.
The size of this sale can be significant. In cases of mining difficulty escalation or a spike in electricity rates, miners can unload more of their coins to stay profitable. This supply infusion takes place if this selling occurs during times of low demand, and prices decrease. In cases of strong Bitcoin prices and miners b
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Author: AMBCrypto Team
