How Can I Predict Whether a Currency Will Rise or Fall? Estimated reading: 1 minute 57 views Currency values are driven by supply and demand. When demand for a currency increases, its value rises relative to others. Conversely, when demand weakens, the currency depreciates.However, forex prices are highly volatile and unpredictable. While analysis can help forecast trends, no system can guarantee profits or ensure successful trades. Market fluctuations depend on various factors, including economic data, geopolitical events, and trader sentiment.