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Topic: Are declining stock markets good or bad for Bitcoin? - page 3. (Read 1753 times)

sr. member
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Merit: 250
a quick look at a couple of charts of European indexes shows a normal technical selloff after a nice run.  In fact most of them are near support levels now and shouldn't go down much more in the near term.   Meanwhile cryptos are rolling over here and getting ready for another selloff within the next couple of days which will take the total market cap below $90 billion near term, and we could get as low as $65 billion in the next month.

I don't think it will affect them either way.   I would safeguard my money in crypto, if the price was right. If bitcoin ever gets back to $500 again after a year or two of no volume action, I'll make sure to get all in. I don't discriminate and will get into any investment I think is attractive at the time.
legendary
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Declining stock markets--say what?  I guess I only follow the US, but the Dow & NASDAQ have been on a tear lately and certainly haven't been going down.  Are worldwide markets down?

There might be an argument to be made that people who take their money out of the stock market (thereby causing it to decline) may put some of it into crypto, which would be an argument for an inverse relationship.  I just don't know if that's true or not.  Crypto is a strange beast and I don't know how much wall street money is flowing into it.  Precious metals tend to go up as the stock market goes down, but those are seen as flight-to-safety investments.  Bitcoin is certainly not stable enough to claim that.  Lately it seems bitcoin has been increasing right along with bitcoin. 
legendary
Activity: 1288
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if people's investments fall they're gonna look to safeguard their money. crypto is not the place to do it. it'll be bad for bitcoin. bitcoin has existed throughout an epic global bull run. it hasn't known anything else. it'll be interesting to see what it does when the party finally stops.
hero member
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In the past few days many stock markets have fallen worldwide. There are many voices that expecting a strong correction and a coming bear market. I wonder if falling stock markets are good or bad for Bitcoin. Normally, money that is no longer invested in stocks is to flow into other assets. Bitcoin with its rapid rise would certainly be attractive. What do you think?
Since bitcoin runs against the interest of the banks and governments then I think the most likely scenario is that if the world economy does perform badly then that will benefit bitcoin, look at the countries that had economic troubles in recent years, bitcoin is flourishing there so I think it is to be expected that bitcoin will do well in an economic crisis.
full member
Activity: 448
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Nobody knows but I think that they are all similar, as some investors deal within the market and they have invested into bitcoin. Plus we all know how big is the uncertainty about bitcoin, it could easily crush. I doubt that investors will move from stocks to bitcoin within a second it will still need more years for this and if it would happen in the future.
hero member
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The stock markets are down and it is expected to go down further,there are rumors that there will be a economic crisis looming ,the fact is no one can predict before hand whether there will be a crisis or a recessions and will investors move their assets to bitcoin in the mean time,it is highly unlikely we could see that trend for now,it might happen in the future but not at the present situation.
member
Activity: 72
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As someone who has been active in the stock space for years, I find Crypto to be a much more interesting playground (active since 2013). CNBC is downright boring to watch these days because they are covering dinosaurs (including Apple and Facebook). The current financial system will not see Bitcoin or other cryptos as a real threat until it is already at their necks and they are displaced. Lets take the Blue Apron IPO yesterday, watched it open live, felt like I was looking at a dated system that was rewarding a company for past performance in a space that has already shifted before its feet. Investing in an interesting ICO is much more palatable for me these days, but I am risk averse and can stomach going down with the ship.
legendary
Activity: 2478
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I'd say bitcoin is mostly independent of stock market and stock investors don't switch to BTC at all. Some of tham might have it in their portfolio, but sust as a side investment.
If someone is familiar with BTC and likes the volatility of a crypto market he'll just stay here and keep trading and if he doesn't he'll turn to stocks, real estate, startups, whatever. There won't be a big money flow from stocks to cryptos. Stock investors will prefer to hold cash and be able to go back into stocks when the price is right.
hero member
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The vast majority of investors will just move their holdings into fiat.  They'd prefer to have something which typically only drops by 2-3%, instead of keeping the risk of something which is likely to have dropped loads when they want to cash out.

You can only expect Bitcoin investors from a bear market if they're diversifying loads into many different assets including gold as well.  Generally though, you're right that stock market problems are bullish for Bitcoin IMO.
sr. member
Activity: 325
Merit: 250
Carpe noctem
Many banks are signalling their customers about a correction in the coming Autumn. As we've seen in the days before & after the Brexit vote, people didn't accumulate big amounts of coins but this one's kind of different. Let's suppose that September 4 closes with a -40% in most stock exchanges, most probably a minority of investors will try to secure their assets buying Bitcoins, Gold and even silver, but the majority will rush to liquidate their stocks for USD. Smiley

Fiat still rules the world
hero member
Activity: 924
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In the past few days many stock markets have fallen worldwide. There are many voices that expecting a strong correction and a coming bear market. I wonder if falling stock markets are good or bad for Bitcoin. Normally, money that is no longer invested in stocks is to flow into other assets. Bitcoin with its rapid rise would certainly be attractive. What do you think?
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