Can Social Media Affect Bitcoin Prices?
If you were to ask everybody what the first thing they do when they start their day is, chances are a lot of people are going to say that they check their phones. Social media plays a huge role in this as people use it as a means to stay in touch with loved ones, get updates on the news, and simply kill time. Because of its popularity, the impact that social media has on the real world is quite significant.
If you buy and sell cryptocurrency, then you will be interested to know just how much of a massive role social media plays on the value of certain types of crypto. Right from the beginning of the crypto days, there were online forums that talked about it, and now, the same happens but on a much larger scale. Here, we will talk about how social media can affect the price of crypto, specifically Bitcoin.
How to Keep on Top of the Value of Crypto
If you want to have a constant understanding of how much different types of cryptocurrency are worth, then you will be happy to know that there are a number of websites out there that can help you with that. One of the easiest to use is the real-time website OKX at https://www.okx.com/markets/prices/bitcoin-btc, which provides frequent updates of how much the likes of Bitcoin are currently worth and what direction the market is moving in. As such, it is important that you keep an eye on these different updates so that you know what your cryptos’ worth is and how social media might have impacted that value.
The Power of Trending
The amount that trending can impact the value of certain types of cryptocurrency is huge. When something goes viral online, it means that more and more people invest in whatever is trending, which means its value of it will increase. This was seen quite recently as in 2020. There was a surge in the number of people who were investing in Dogecoin because of a TikTok trend that spoke about it. This led the price of Dogecoin to rise at an exponential rate.
Bitcoin and other forms of crypto and entirely decentralized, which means that no person or authority has governance over them. That being said, this doesn’t mean that they are not subject to the power of the influencer, as when popular figures appreciate or denounce the value of certain pieces of crypto, this can have a direct effect on their value. One of the most influential at the moment is Elon Musk. For instance, he commented in a post in 2021 that the price of Bitcoin seemed a bit high. The actual tweet read,”BTC & ETH do seem high lol”. It might seem quite harmless, but just off of the back of that one tweet, the price of Bitcoin fell. It’s tough to assume that the Bitcoin price fell because of just that one tweet, but it certainly will have had some form of impact.