What Makes Crypto Prices Swing?

Crypto prices are a hot topic. People often wonder what makes them go up and down. A recent study looked at five big cryptocurrencies: Bitcoin, Ethereum, Dash, Litecoin, and Monero. It checked data from 2010 to 2018 to find out what affects their prices. The study found that things like market trends, trading volume, and price swings matter a lot. These factors influence crypto prices in both the short and long term. It seems that how appealing a cryptocurrency is also plays a role, but this takes time to show up in the price. Interestingly, the stock market (S&P 500) has a small effect on Bitcoin, Ethereum, and Litecoin in the long run. But in the short term, this effect is negative, except for Bitcoin. The study also found that crypto prices tend to balance out over time. Each cryptocurrency has its own speed for returning to a stable price. This study gives a good look at what drives crypto prices. It shows that many factors work together in complex ways. Understanding these factors can help people make better sense of the crypto market.