Topic: [2017-11-14] After periodic drops, bitcoin tends to come back even stronger (Read 10232 times)

Yes bitcoin was pushed down for a while by bitcoin cash as its price went surprisingly up but there is nothing to get worried, bitcoin is again making its grand come back which will be more effective than the past and its worth will increase very much. All who invested in bitcoin are lucky enough because with this come back of bitcoin they are going to get a very high output

The current price drop and the sudden return on the price of bitcoin which even resulted to a  higher price is a proof that more and more people are trusting Bitcoin. New investments was just added that is why bitcoin's price is soaring. Most probably that was the result of the price drop new investors bought coin when the price was down and when the people who converted to BCH returned their investment to BTC the price soar higher.

Investors often see better opportunities of buying with each dip. As per Fibonacci believers....upward trend can't be straight, it always include some dips and highs and ultimately leads to a long term growth. Image attached within is an example of such a growth trend, So I believe periodic dips is the part of long term growth and is the opportunity of buying.
http://investorji.in/wp-content/uploads/2013/12/fibonacci-projections.jpg?x89875

All this shows that Bitcoin is turning hotter and hotter topic day-by-day. There is a popular loop developing in Bitcoin market that is a rise of 10% which turns new ATH, then a correction of about 2-3% and new resistance at 7-8% of last resistance. This trend is eventually coming up after Bitcoin hit $5000.
So get used to seeing this uptrend, Bitcoin will cross $10K by December.

I have learnt about this trend earlier today that there are no more reasons for Bitcoin's price to drop because the drop that was earlier contemplated on already took place. Hence, NOW is the beginning that Bitcoin's price will increase little by little. Perhaps all investors are put on a very risky situation as to whether they will sell or HODL because of the huge jump that is expected to take place before the year ends! Your move will either make you 10 times (or more) richer or it will break whatever is left of you. Either way, there is sure win since we all know the value of Bitcoin at the onset.

The price of bitcoin is $8100 today, that is about 50% higher than the recent low.

Yes, you are totally right . The statistics prove the facts . Everytime bitcoin has come up with a higher price after some negative influence . Bitcoin is a global phenomena . Every time bitcoin was critisized it made more news and people looked into it and invested or bought it after analyzing its potential .
This clearly indicates the influence of bitcoin . People are going main stream with bitcoin .  The periodic drops make bitcoin strong and high valued for a long period of time.

This clearly shows the rising demand of Bitcoin over the globe. Bitcoin has created a lot of Buzz again previously when Bitcoin crossed $5,000 every one lose their minds and started introspecting their views upon Bitcoin. But this time Bitcoin nearly reached $8,000 which helped to increased its user base globally and hence making it more powerful than ever again.

Throughout the drops I have participated in Bitcoin trading I have also notice that every time there will be a correction it will go up and try to achieve an all time high. My observance from why is that happening is because every time its price drops many people will try to take advantage of the cheap price and buy as many as they can also new people who just entered the market will also participate in a later entry making the price of Bitcoin go up to a new level, additionally everyday new and new people are trying to enter the Bitcoin market and try to get a piece of their own.

Thank you for your time and effort error08! This is exactly what i was looking for. 

It's 20% loss which calculated from all time high.
How to calculate:

To calculate percentage decrease:

First: work out the difference (decrease) between the two numbers you are comparing.

Decrease = Original Number - New Number

Then: divide the decrease by the original number and multiply the answer by 100.

% Decrease = Decrease ÷ Original Number × 100
Read more at: https://www.skillsyouneed.com/num/percent-change.html

Let's say bitcoin ATH is $7800 and it plunged to a low of $5507 which mean:

$7800-$5507 = $2293 (decrease)

% decrease = $2293 ÷ $7800 × 100
% decrease = 29.39
decrease = 29.39%

Thanks for the article.  I'm a total n00b with economics/stocks/crypto and was curious on how you come up with the numbers.  Can you show us how you calculated the Drawdown %, or is there a source you referenced?  I get confused when people say 'fell more than 20 percent'.  Is it 20 percent loss from the high that same day?  Or that week?  Or all time high?   Etc...  I guess you can say i'm clueless.   

Any pointers on how this works would be awesome.   

Thanks!

That is right. I sold before, and the price kept on rise. Now I just hold.

Bitcoin is the most loyal to the mistakes beginners currency. Even if he bought bitcoin at $ 7400 he will not lose anything. Yes of course he could earn more if I bought bitcoin at $ 5600. But that's another conversation. Now bitcoin is trading already for 7300 dollars. Tomorrow the price will be $ 7400. From this moment he begins to earn. In any case it will work.

This is just the perfect word for bitcoin. I have read about a guy who was skeptical about his decision having bought at $7400 but the price crashed afterwards couple with the gain that BCH got in the past few days, but the conclusion was just that, hold on, never be despair, and wait for situations to turn around. Times without number we have seen this scenerio repeat itself over and over again but what keeps surprising is that some people will keep failing to see the opportunity it offers.

My quest for this, made me go back memory lane to download the historical price of bitcoin after looking at it, which made be come to a conclusion that the term Antifragility is just the best to describe this.

Bitcoin can be back for a vengeance this time. After experiencing some discouraging slumps, this time around it is reinvigorating itself and now resting at the $7,200 level...we don't know for sure if it can be able to directly go towards the $7,500 mark. I am sure that many Bitcoin holders are back smiling today as we can finally say that Bitcoin is now winning the war. Hopefully, this is just the start for its resurgence as we are about to end the year 2017. Next year, am expecting some bigger movements for Bitcoin as new markets would be opening and that futures contracts will already be operating. Who knows an ETF can also be approved by SEC, finally.

ANTIFRAGILE!

Antifragility is a property of systems that increase in capability, resilience, or robustness as a result of stressors, shocks, volatility, noise, mistakes, faults, attacks, or failures.

https://en.wikipedia.org/wiki/Antifragility

That means you take a sock at it with a sledgehammer and the damn hammer breaks!

Today Bitcoin price has reached 7000$ mark, and crypto market cup leaped to new all time high, and is currently $217.1 billion. Press and marketing BTC support is on unbelievable level, it looks like nothing could prevent further BTC and ETH growth.

Yes, this will be the biggest bubble ever. Yes, we have not even barely scraped the beginning. As a famous investor said recently, you got to own this bubble. Big Time.

HODL your coins and spread your risk.

After periodic drops of 20 percent, bitcoin tends to come back even stronger

-  The last four times bitcoin fell more than 20 percent this year, it gained an average 61.5 percent in the following four weeks, according to Genesis Global Trading.
-   Two weeks after such a drop, bitcoin gained an average 28 percent, the data showed.
-   Bitcoin swung wildly this weekend amid the latest debate among developers over the digital currency's future.

As dramatic as the downturn in bitcoin's price was over the weekend, history indicates future returns will likely be greater.

Bitcoin fell about 20 percent over the weekend before recovering much of its losses. The last four times bitcoin has fallen more than 20 percent this year, it has gained an average 28 percent in the two weeks following, according to digital currency trading firm Genesis Global Trading.

Four weeks out, the digital currency has gained an average 61.5 percent, the data showed.

Bitcoin performance in the weeks after a drop of more than 20%



The digital currency plunged to a low of $5,507 this weekend amid uncertainty over bitcoin's future. Developers have disagreed over the best way to improve bitcoin's transaction speeds and costs, resulting in splits in the digital currency.

After some developers last Wednesday called off an upgrade proposal called SegWit2x, investors began buying "bitcoin cash," the bitcoin offshoot formed in August. Another alternative version of bitcoin, "bitcoin gold," launched Sunday in an effort to make the process of creating, or "mining," the digital currency less dependent on specialized hardware.

The original bitcoin has proved resilient so far this year. Bitcoin hit record highs after the August split into bitcoin and bitcoin cash. Bitcoin also more than recovered from a $2,000 drop in September after a Chinese crackdown on digital currencies. Digital currency enthusiasts attribute the gains to growing interest from institutional investors, especially as the planned launch of bitcoin futures later this year may allow other products such as a bitcoin exchange-traded fund to launch.

Bitcoin traded more than 9 percent higher, near $6,392, Monday afternoon, according to CoinDesk.

Fundstrat's Tom Lee predicts bitcoin could hit $25,000 or more by 2022. Former Fortress hedge-fund manager Mike Novogratz also said on CNBC's "Fast Money" in October that bitcoin will likely top $10,000 in the next six to 10 months.

But that's no guarantee that bitcoin will keep rising.

Novogratz has also said the digital currency "is going to be the largest bubble of our lifetimes." He's just willing to bet on gains on the way up, before a crash.

https://www.cnbc.com/2017/11/13/after-a-plunge-bitcoin-typically-soars-in-next-few-weeks-data-shows.html