How does Bitcoin's fixed supply influence its price?

One of Bitcoin’s core features is its capped supply of 21 million coins, which introduces built-in scarcity. This limited supply makes Bitcoin similar to gold in terms of value proposition, often earning it the nickname "digital gold." As demand for BTC increases over time—due to broader adoption, inflation fears, or institutional interest—the fixed supply can cause the btc price to rise. Unlike fiat currencies, which can be printed in unlimited amounts, Bitcoin’s supply schedule is hardcoded and predictable. This scarcity-driven model appeals to investors looking for assets that preserve value over time. When paired with growing demand, the supply cap creates upward pressure on price, particularly during market hype cycles. To understand how this principle plays out in real time, you can monitor the live btc price and supply metrics on Toobit’s platform.