Cryptocurrencies are a type of electronic currency that relies on decentralized network technology (blockchain) to record and audit financial transactions. Cryptocurrencies are used to carry out financial transactions over the Internet without an intermediary, and are characterized by encryption and credibility.
The first appearance of a digital currency was Bitcoin in 2009, and it is considered the first digital currency to be developed and used practically. The first trading of a digital currency was in 2010, when 10,000 Bitcoins were sold for 10 US dollars, which is considered the first real trading of a digital currency.
The factors that the market depends on in the rise and fall of the value of digital currencies include:
1. *Demand and supply*: As in any market, the level of demand for the currency and its supply depend on its value.
2. *Government policies*: Laws and legislation issued by governments can greatly affect the value of digital currencies.
3. *News and technical developments*: Positive or negative news and technical developments in the field of digital currencies can affect the market.
4. *Investment Trading*: Other markets and underlying markets can affect the value of cryptocurrencies.
5. *Ratings and Forecasts*: Economic and financial valuations and forecasts of cryptocurrencies can affect the market.