How politics affects cryptocurrency?


#1

I have found lots of articles about how laws and different regulations affect cryptocurrency. Even some news can affect it. Do latest bad news lower almost all cryptocurrency? What news are the most affected? Do you think BTC is still worth buying?


#2

I came up with this question in another source, so there are lots of answers, hope it helps https://www.quora.com/How-will-cryptocurrency-affect-government-and-politics-How-will-governments-cope-with-the-loss-of-revenue


#3

There are pump and dump schemes which can lower the price on cryptocurrencies, however, news and politics affect them as well - the same as with the common fiat currencies. Even one word said by a president can change a lot so any Forex trader will prove it to you. That’s how world economy works.


#5

Unfortunately, the crypto markets still operate on sentiment rather than fundamentals. Even the stock market works on sentimental primarily over fundamentals. That is why there are PE ratios which are unrealistic to particular sectors like ‘tech’ compared to the traditional approach.

Building and investing on fundamentals will be important but understanding how hype/market news/sentiment works will also be key.