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WHAT IS BITCOIN AND WHY IT HAS VALUE. BEST EXPLANATION EVER.Bitcoin's value is heavily influenced by demand and market sentiment. As more people become aware of Bitcoin and its potential, the demand for the. Bitcoin derives its value in the same way any currency does: by fulfilling the six characteristics of money. Those characteristics are: durability. Bitcoin devotees will tell you that, like gold, its value comes from its scarcity�Bitcoin's computer algorithm mandates a fixed cap of 21 million digital coins.
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