Similar to another currency, cryptocurrencies have some type of support: the money contributed by people who invest in cryptocurrencies and the trust they place in it. These, being a decentralized currency supported by blockchain technology, are affected by a series of additional factors (unlike conventional currencies):
– Monetary support: supply / demand.
– Costs and security of the platform: blockchain energetic security, blockchain mining difficulty and blockchain general security.
-The reliability of the utilitarian value of the cryptocurrency: Utility, ease of use, perception of the public with respect to its value, bitcoin price, public opinion in media resources, use as a form of investment, innovation in the technology involved, dilution of the market, the reliability in conventional monetary systems and the volatility of value.
-The reliability in transactions: number of scams, legal problems and government regulations.
For specific information for each point, visit the next link: https://bitconnect.co/bitcoin-information/10/how-is-the-price-of-cryptocurrency-defined