Bitcoin current market price: $AUD | $NZD | $USD
The Bitcoin price is based off the cost of one whole Bitcoin, similar to the way that shares in a company are priced in a share market. Unlike traditional share markets, however, you may buy and sell fractional amounts of Bitcoin. For example, if the Bitcoin market price is $12 000, you can buy 0.5 Bitcoin for $6 000. You can read more about this in the What is Bitcoin page. The price of Bitcoin on Independent Reserve is purely based off the trading behaviours of our customers. As explained in the How to buy Bitcoin page, Independent Reserve is purely an open order book exchange. We do not supply Bitcoin - when you buy Bitcoin here you are simply buying it directly off another Independent Reserve customer who is looking to sell. The Bitcoin price will go up when there are more buyers than sellers, and the price will go down when there are more sellers than buyers.
It's important to understand that with Bitcoin and most cryptocurrencies, exchanges are not connected. This means that on one exchange the price can conceivably be quite different to another exchange. If the market price between two exchanges diverges enough, this presents an arbitrage opportunity, where Bitcoin can be bought on the exchange with the lower price, transferred to the other exchange, and then sold for a profit. This is the main mechanism that keeps prices on different exchanges in line with each other.
The Bitcoin price has historically been quite volatile when compared with traditional share markets. This makes it a commodity to trade, where proportionally high gains (and losses!) can be realised in relatively quick time periods. The below graph shows a historic view of the Bitcoin price on Independent Reserve's order book.
Understanding the graph
As explained in the Price basics section above, the Bitcoin price is always based off the value of one whole Bitcoin. The graph above shows the value of a whole Bitcoin over time. If you have the "Show candlesticks" option enabled, you can see the high and low of the price on that day. Green means the price ended higher than it started, red means it ended lower than it started. The "Volume" section underneath shows the number of Bitcoin traded on that day. You'll usually find the volume increases when the volatility does. Hover your mouse over any of the days in the graph to get more detailed information about the trading on that day.