The value of a cryptocurrency is determined by supply and demand. Demand for a particular cryptocurrency typically comes from people wanting to use it to buy goods and services, as a store of value, or as an investment. Factors such as news reports, market sentiment, and volatility in other markets can also influence the price. The supply of a cryptocurrency is usually predetermined by the protocol and cannot be changed easily. As with any currency, the true value of a cryptocurrency is ultimately determined by how much people are willing to pay for it.