Topic: BITCOIN PRICES DROP - Analysis and Hedging (Read 1803 times)
Is the information that Paypal is cracking down on Bitcoin Sellers reliable?
Well Gentlemen,
As you can see today, we were right to invite you to SHORT and Hedge your positions on friday.
All the Market Drivers were Bearish, and Mt Gox is unfortunately unable to fix his withdrawals issues, maybe there are not only technical but also related to free cash flows.
Today, Mt Gox is Kraching taking other Exchanges in his fall.
We propose to short when BTC/USD was around $760 with a SHORT CFD leverage 1:10 and a monthly maturity.
Gain Value is exceptional as per today.
Read more: http://bitcoinvox.com/index.php?view=article&article_id=127
Feel free to contact us for any information.
Have a nice day all of you.
Bitcoin Vox Analysts
www.BitcoinVOX.com
As you can see today, we were right to invite you to SHORT and Hedge your positions on friday.
All the Market Drivers were Bearish, and Mt Gox is unfortunately unable to fix his withdrawals issues, maybe there are not only technical but also related to free cash flows.
Today, Mt Gox is Kraching taking other Exchanges in his fall.
We propose to short when BTC/USD was around $760 with a SHORT CFD leverage 1:10 and a monthly maturity.
Gain Value is exceptional as per today.
Read more: http://bitcoinvox.com/index.php?view=article&article_id=127
Feel free to contact us for any information.
Have a nice day all of you.
Bitcoin Vox Analysts
www.BitcoinVOX.com
Great time to buy right now. 
Will be interesting to see what happens on Feb. 10th when mt.gox updates.
Will be interesting to see what happens on Feb. 10th when mt.gox updates.
Well our hedging Strategy leads us to a 40% gain value.
Do your research and check the news, as the Price were surprisingly stables in January.
Have a nice day.
No panic.. in this state the volitaile rate is absolutly normal, see the rates of ie facebook, twitter, google before they went public!
obviously you have to do some research.. hence the term going public...
obviously you have to do some research.. hence the term going public...
BITCOIN PRICES PLUNGE ON ALL EXCHANGES
Considering the recent accumulation of Bearish News:
Bitcoin Vox Analysis
Bitcoin VOX analysts downgrade again their recommendation to Bearish, as we do not see any Bullish news able to compensate the trend so far. If we identify some Bullish Trigger Events, we will advice you in real time and adjust our recommendation, so you can buy-in at a good price. In addition, right now we consider that some users have probably decided to leave Mt Gox for others Exchanges.
However, with Mt Gox it takes 3 weeks in average for non japanese residents to cash-in, when there is no issue (not the case apparently). Therefore, it might create some turbulences to the Bitcoin liquidity pool. Currently, we believe only some opportunistic purchases will limit the drop in the coming hours.
Thus, if you are long you may want to lighten your position and/or to consider some hedging either with Short Sales of BTC and/or with purchases of Short Contracts for Difference (CFD Leverage 10:1, monthly maturity). If you use Contract for Difference, always set up stop loss orders as they are extremely volatile, you do not want to face margin calls. Beside, you could also consider the opportunity to diversify a bit toward other digital coins.
UPDATE 7:22 AM GMT - Markets plunge
All Exchanges are plunging now, as Europe is starting to wake up, BitStamp and BTC-e have accelerated the Bearish pace. The news regarding the Russian Ban is spreading. We are currently contacting Russia's Official to have more details regarding their intentions, and the eventual delay before such a measure enters into force.
BTC Prices on Mt Gox is inferior to $730 as we write, and inferior to $700 on BitStamp and BTC-e.
Mt Gox uncertainty
Again, early this morning in Japan the Mt Gox Bitcoin Price has started to fall tragically to a lowest of $750 from $830 yesterday. It is almost the same scenario than yesterday when the BTC dropped from $935 to $825 in only a few hours. The Exchange is paying a hard price for not having been able to resolve its withdrawal issues and keep the confidence of its users.
Mt Gox end of Premium
Indeed, Mt Gox price is particularly falling (-20% in two days) compared to other Exchanges as BitStamp, BTC-e and Huobi (about -9% in two days). The current premium between Mt Gox and BitStamp is now low as $30, against $80 yesterday and $140 this week-end.
Market Drivers
Force is to note that recently bad news have been accumulated on various fronts. First, additional Central Banks have issued Warning against Bitcoin.
In addition, in Russia Bitcoin might become banned in the country, as the Prosecutor General's Office concluded after meeting with the Central Bank, FSB, and Interior Ministry of Russia that:
Secondly, western countries are in a Regulation Phase thus there is legal insecurity which has always a bearish effect. Furthermore, also due to the legal vacuum and some Silk Road side effects, several major Merchants have decided either to pause or stop involving in any type of relation with Bitcoin transactions :
- Apple removed the Blockchain Wallet from AppleStore (the last wallet app)
- Paypal is cracking down on Bitcoin Sellers (even mining items)
- CampBMX's Bank terminated its service with the Exchange last week, which raises a doubt as maybe other Banks might take the same measure
Bitcoin Vox Analysts
www.BitcoinVox.com
Feel free to contact us for any question: [email protected][/left]
- See more at: http://bitcoinvox.com/index.php?view=article&article_id=106#sthash.xoCrCAMA.dpuf
Considering the recent accumulation of Bearish News:
Bitcoin Vox Analysis
Bitcoin VOX analysts downgrade again their recommendation to Bearish, as we do not see any Bullish news able to compensate the trend so far. If we identify some Bullish Trigger Events, we will advice you in real time and adjust our recommendation, so you can buy-in at a good price. In addition, right now we consider that some users have probably decided to leave Mt Gox for others Exchanges.
However, with Mt Gox it takes 3 weeks in average for non japanese residents to cash-in, when there is no issue (not the case apparently). Therefore, it might create some turbulences to the Bitcoin liquidity pool. Currently, we believe only some opportunistic purchases will limit the drop in the coming hours.
Thus, if you are long you may want to lighten your position and/or to consider some hedging either with Short Sales of BTC and/or with purchases of Short Contracts for Difference (CFD Leverage 10:1, monthly maturity). If you use Contract for Difference, always set up stop loss orders as they are extremely volatile, you do not want to face margin calls. Beside, you could also consider the opportunity to diversify a bit toward other digital coins.
UPDATE 7:22 AM GMT - Markets plunge
All Exchanges are plunging now, as Europe is starting to wake up, BitStamp and BTC-e have accelerated the Bearish pace. The news regarding the Russian Ban is spreading. We are currently contacting Russia's Official to have more details regarding their intentions, and the eventual delay before such a measure enters into force.
BTC Prices on Mt Gox is inferior to $730 as we write, and inferior to $700 on BitStamp and BTC-e.
Mt Gox uncertainty
Again, early this morning in Japan the Mt Gox Bitcoin Price has started to fall tragically to a lowest of $750 from $830 yesterday. It is almost the same scenario than yesterday when the BTC dropped from $935 to $825 in only a few hours. The Exchange is paying a hard price for not having been able to resolve its withdrawal issues and keep the confidence of its users.
Mt Gox end of Premium
Indeed, Mt Gox price is particularly falling (-20% in two days) compared to other Exchanges as BitStamp, BTC-e and Huobi (about -9% in two days). The current premium between Mt Gox and BitStamp is now low as $30, against $80 yesterday and $140 this week-end.
Market Drivers
Force is to note that recently bad news have been accumulated on various fronts. First, additional Central Banks have issued Warning against Bitcoin.
In addition, in Russia Bitcoin might become banned in the country, as the Prosecutor General's Office concluded after meeting with the Central Bank, FSB, and Interior Ministry of Russia that:
"The use of bitcoins and other cryptocurrencies carries the risk of violating citizens’ property rights and cannot be used in Russia".
Secondly, western countries are in a Regulation Phase thus there is legal insecurity which has always a bearish effect. Furthermore, also due to the legal vacuum and some Silk Road side effects, several major Merchants have decided either to pause or stop involving in any type of relation with Bitcoin transactions :
- Apple removed the Blockchain Wallet from AppleStore (the last wallet app)
- Paypal is cracking down on Bitcoin Sellers (even mining items)
- CampBMX's Bank terminated its service with the Exchange last week, which raises a doubt as maybe other Banks might take the same measure
Bitcoin Vox Analysts
www.BitcoinVox.com
Feel free to contact us for any question: [email protected][/left]
- See more at: http://bitcoinvox.com/index.php?view=article&article_id=106#sthash.xoCrCAMA.dpuf
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