BTC dumps on high inflation report..

landheer

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Quote from: Luqman on September 13, 2022, 05:58:42 PM

The current dump in Bitcoin looks as usual. After Bitcoin has a little pump from September 10 to September 12, it is normal to have a dump today. As long as the Bitcoin price doesn't drop to $17k again, I think we don't need to worry about the price of Bitcoin. Remember it is a bearish period, a dump is something usual, we shouldn't be so worried about the temporary drops. I am also not really sure that the big factor to dump Bitcoin today is the high inflation.

Anyway, what is wrong with Bitcoin purpose? The current dump doesn't mean Bitcoin denies its purpose. Learn more about the factor of Bitcoin dump, it shouldn't be about inflation only, it can be about manipulation or other things.

yes, that's the way it is,, and indeed in the world of bitcoin and crypto trading,, we are no longer surprised by the existence of a bear market,, because indeed the trading cycle is like that, i.e. there are downs and ups, so basically bitcoin will not be too affected by inflation, and also the invasion, because the evidence is in times of inflation and invasion, more and more people are interested in investing in bitcoin.

$anounimus$

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It seems like only a matter of time until BTC gets wider circulation and more recognition. Bitcoin is still new, especially when it comes to government approvals, and there is certainly room for growth. But if Bitcoin continues down this path of extreme fluctuation due to centralization, then Bitcoin will simply become another centralized currency like USD, and Bitcoin's value may become dependent on what certain central parties say about the value of Bitcoin. This rising interest rate also has its own influence on BTC for now.

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The pound partially falls below the USD and the EUR as UK interest rates rise to around 7%. partially because their new fiscal strategy is now logical. London is a major global financial center, thus this has a significant impact on the financial markets and drives up the dollar. The market was thereafter marginally impacted. Consider lowering taxes while attempting to combat inflation. In fact, SP500 achieves a target of 362 precisely! The Double Bottom hypothesis has worked out well so far as $Bitcoin reached 18.1K. Will they rebound or crumble from here, though? I believe it all hinges on the US dollar and US 10-year yields.

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Quote from: xSkylarx on September 15, 2022, 07:09:01 AM

Quote from: davis196 on September 15, 2022, 12:49:22 AM

I also wouldn't say that the price drop was caused by this inflation report. The high inflation was expected and I highly doubt that anyone is surprised by the levels of inflation in the US.

How can you say the cpi report has nothing to do with the dump. After their report S&P500, gold, bitcoin, and EUR/USD took a nose dive simultaneously.

It was because of this CPI data that bitcoin dumped and as a result the whole crypto market dumped. Since the dump was strong and sharp, the bitcoin hasn't been able to recover and is still trading below 20K.
Today is Sunday and it will be interesting to know how the market starts in next week. I am hoping that the market will start recovering from early next week.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

It really is counterintuitive to see people sell bitcoins and other crypto currencies when inflation is on the rise. I am still not sure if investors are afraid of the high inflation or general economic outlook. And what are these investors switching their money from cryptos into? Stocks are also down and it doesn't feel like investors are heavily buying them. Holding cash seems like the worst idea you could do right now. With inflation rates above 10% you are losing so much purchasing power of your cash. The only rational to hold all that cash is if you expect another crash and things too get much worse. I am not so negative and think it's much better to stay invested and sit out this bear market. As long as we are not selling we are not realising any losses and will profit as soon as prices start to rise again.

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No, not at all!

There were many other factors at play causing the massive drop-off of bitcoin's price this week.
As it always does from past events have shown.
US regulators are looking hard at bitcoin and Biden (president of the USA) has mentioned during his speech just this week he plans to curb it's citizens on some facets of it's use in the country. And has assigned a whole task-force dedicated to cryptocurrency crime division.

Here are some links to what has happened in the past week on this causing the dip in price:
https://www.reuters.com/technology/biden-administration-wants-more-crypto-enforcement-digital-asset-rules-2022-09-16/
https://www.coindesk.com/policy/2022/09/16/bidens-executive-order-produces-few-answers-in-crypto-reports-from-us-treasury/

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

I think the misunderstanding and unexpectedness is due to the most common mistake people make in the area of economics: they assume that economic actors (buyers, consumers, investors, sellers) are behaving rationally and acting in their best rational self-interest. It's been shown over and over again that humans are in fact way less rational that we tend to assume. People often buy what they can't really afford and don't think of the consequences. Or they surrender to panic and sell what they rationally know they shouldn't sell because emotions play such a big role. People from developed countries aren't used to dealing with high inflation rates, rising utility bills and things like that. So they're feeling insecure, uncertain about the future, emotional. Thus bad news leads to panic, not to reasonable search of solutions. Yes, Bitcoin isn't susceptible to inflation and that could save wealth during recession. But it won't if not enough people believe in that and if panic prevails.

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Quote from: tjtonmoy on September 16, 2022, 09:28:19 AM

It's just the situation has been created from the world conflicts. I personally had to sell out my 80% of holdings to manage the expenses. If we can overcome this situation, then there will be more what we can see from BTC and other cryptocurrencies. But for now, this will still continue for a bit more time, as I can see. People are afraid to loose assets because of the current market condition. This will be gone but sure will take some time to be stable again.

It's true as you said, all of this was created because of world conflicts, bitcoin and other cryptos are indeed under pressure, this happened because the Federal Reserve has raised interest rates, reports of high inflation are also very influential on the decline in bitcoin prices, in fact every investment decision is in our hands, before we buy and sell crypto we must learn first, before we lose our money.

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Quote from: Stella Mese on September 16, 2022, 08:24:46 AM

I think bitcoin is still on its right way. because I was told by a friend of mine who can quite rely on when it comes to market analysis. He even told me last week that bitcoin has the potential to drop to $19k in the near future if you look at the results of the chart analysis he describes. although I don't really understand. but I did what he said. and I prepared money buy bitcoin at the current rate. and it turned out to be real. so this market analysis is on track. but it turned out to be a coincidence that this decline was also caused by a high rate of inflation.

Yes, because despite of what happened (the decline) btc still manage to hold some of its value and it became stable at this point. Later on we will see that btc will recover and will attempt again to break those unexplored areas. Is it already proven that the decline is caused by the high rate of inflation for you to say that what happened is only a coincidence? Because according to the op, btc should work as opposed to inflation. Its value must rise while the inflation is high outside and the value of the fiat is declining.

The decline in btc must be caused by other things. It can be the fear of people due to that upcoming mt. gox coin distribution or people are temporarily switching to eth.

tjtonmoy

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It's just the situation has been created from the world conflicts. I personally had to sell out my 80% of holdings to manage the expenses. If we can overcome this situation, then there will be more what we can see from BTC and other cryptocurrencies. But for now, this will still continue for a bit more time, as I can see. People are afraid to loose assets because of the current market condition. This will be gone but sure will take some time to be stable again.

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We must maintain the individuality of thought of the basic premises of bitcoin, that translates into the success of the whole, which unfortunately we did not manage to have although it may seem so, that is, there is a dissociated group of what bitcoin has as its objective , even that group that I mentioned is not even possible to hold bitcoin or worse yet they have never made a transaction, that group is distorting the objective for which bitcoin should work in a certain way, it is a mix of users who understand bitcoin and how it should be at usefulness of the current moments, but they are oriented in the traditional matrix of information and data of traditional institutions.

Sometimes it is hard to think that the price of bitcoin in that range of $(18k-20k) or $"x" is the best price for the current situation; so, everything is going well!.
I think is not the price that down the bitcoin, which in this case becomes an opportunity given the circumstances for the "people" by inflation to invest in bitcoin, if not the time it takes to recover it, since a weakness of small investors (the people) has the tendency the majority do not always have diamond hands.

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Quote from: TravelMug on September 13, 2022, 10:10:28 PM

I would say that it has impacted the price, but to say that we are in a dump? I don't think so.

I think we're in bear market at the moment and can't be certain as to where the bitcoin price will go in the long run. I made a thread where there is a discussion of bitcoin hitting 45k before the end of this year or not.

Quote from: TravelMug on September 13, 2022, 10:10:28 PM

We are in bear market, so obviously every investors is very prone to this kind of negative news and so are very trigger happy to pull the sell button if they see the price going down.

People are reactive to what the news tells them, and the rich know how to make use of news in their favor.
I'd say people who depend on news forecasts for certain stocks tend to lose in long run.

Quote from: TravelMug on September 13, 2022, 10:10:28 PM

But the good thing is that the bleeding has been halted and we remain above the biggest support of $20K. And this effect should be just short term, so there is no need to worry as bitcoin could gain back what we have lost today.

At the time I'm writing this post, the bitcoin price is around 19.7k, pretty much close to 20k like you said.
I also agree with this line where you mentioned it would be just short-term, I think BTC will skyrocket more than 60k next time we see a bull run and it's also expected by me at least that we can see a market cap of 4 Trillion at least before the end of 2024

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I think bitcoin is still on its right way. because I was told by a friend of mine who can quite rely on when it comes to market analysis. He even told me last week that bitcoin has the potential to drop to $19k in the near future if you look at the results of the chart analysis he describes. although I don't really understand. but I did what he said. and I prepared money buy bitcoin at the current rate. and it turned out to be real. so this market analysis is on track. but it turned out to be a coincidence that this decline was also caused by a high rate of inflation.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

Bitcoin Proof of Waste design can't handle the energy inflation price increases.
Proof of Stake coins outperform BTC PoW design for lower costs and are not susceptible to extreme increases in energy prices.

PoW is dragging BTC down, and venture capitalists are not around this time to pull btc out of the danger zone.

So is this time going to be different from all of the others,
Yep, energy costs have never tripled on it's weak PoW design before. Cool

Bitcoin Devs have refused to fix PoW energy waste , and now all BTC holders are literally going to pay for that failure. Tongue

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Quote from: yazher on September 14, 2022, 03:30:21 AM

Quote from: ChiBitCTy on September 13, 2022, 08:26:35 PM

I think it’s important to note that bitcoin didn’t necessarily dump on the high inflation report, the stock markets crashed today and that’s what’s caused bitcoin to take a shit. The real issue is that bitcoin can’t seem to separate itself from traditional investment markets , and yes I think this is a real issue as it continues to happen.

Maybe because people just can't move on from these traditional markets where they can't seem to make a bitcoin independent market where it doesn't need to rely on others. Right now, this is how it is but with some good positive progress in the future, it will gonna change and will gonna separate itself from the traditional market. We just need to continue supporting it so that it won't get away from its original goal and will gonna be steady progress toward a great financial revolution.

People are expecting way too much from bitcoin, or even crypto in general. Why not stay around here on adoption? I mean I hope that the price goes bigger, but aside from being a good investment asset, and accepted in a few places over the world, why would we need something else?

It is an alternative and that is the power of it as well, if it becomes the main thing people use instead of an alternative then it is going to create a lot of troubles for a lot of people. I personally like the current level, it is not as unknown as it was 8 years ago, but it is not as famous and worldwide as it will be in 8 years, this place we are in is a good in between zone that I really enjoy.

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I believe we should readjust our perspective, and viewpoints on Bitcoin to be a hedge against debasement, and as a hedge against what the cabal behind the Federal Reserve and other Central Banks around the globe could possibly do, not a financial hedge. The market for Bitcoin is connected to the legacy market because it is traded against fiat, BUT the distribution of the currency, its supply, and the network itself is absolutely independent.

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BTC was dumped due to the high inflation report as the rate came in higher than expected.Because high inflation affects FED directly and due to this FED interest rate increases.After a few days the news of FED interest rate is coming. Now there are more chances that the earlier interest rate was 0.5 This time the interest rate may increase from 0.75 to 1.0.Interest rate or inflation rate has this effect on the market When interest rates were low, people took more loans and invested in Bitcoin or the crypto market.Because due to high inflation, people will take less loan and the market volume will decrease, so BTC will dump.When people won't invest So the market will not move.Hence BTC may touch 17500 again.

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Quote from: davis196 on September 15, 2022, 12:49:22 AM

I also wouldn't say that the price drop was caused by this inflation report. The high inflation was expected and I highly doubt that anyone is surprised by the levels of inflation in the US.

How can you say the cpi report has nothing to do with the dump. After their report S&P500, gold, bitcoin, and EUR/USD took a nose dive simultaneously. If this inflation continues to worsen, I'm pretty sure more dumps will happen and bitcoin might go lower than $18k. Many are speculating that we haven't reach the bottom yet in this bear season so I think this economic crisis will be the one that will trigger it in the coming months.

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Quote from: Don Pedro Dinero on September 14, 2022, 10:58:48 PM

Quote from: GreatArkansas on September 14, 2022, 07:14:32 PM

I am really curious why this is happening, the dumps when the inflation report is released, maybe there are just some panic sellers who are FOMOd because of the report.

It's very simple: with the report, even more aggressive rate hikes are expected.

Some are already talking about 9%:

'Investor Mark Mobius says US interest rates could peak at 9% if inflation keeps rising. "So you have 8*% CPI. That means you have to have 9% interest rates," said Mobius, who co-founded Mobius Capital Partners after spending more than three decades at Franklin Templeton Investments.'

Mobius Sees Fed Rates as High as 9% If CPI Keeps Rising

Even without reaching that level, the most likely scenario is that rates will continue to rise, which means less money in circulation and people will have less money to invest. Investors are therefore anticipating events: they see a pessimistic scenario for financial assets and act accordingly. The news affected everything. Markets in general, not just bitcoin, for this very reason.

The inflation is sticky in the U.S., therefore the Fed might have no other choice but take a path for a "hard landing". Interest rates may be raised to levels unexpected, more tightening by selling back U.S. treasuries, and on the government side, more taxes to get more money/liquidity out of circulation. We will not like it, and it will put more tension on the market, and that might make it crash again. BUT save what you can save today, it will be another golden opportunity to Buy the DIP, and HODL.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

I wouldn't say that Bitcoin "dumps off a cliff". The Bitcoin price had dropped severely in the past, the current drop seems like a pretty normal percentage for a highly volatile asset.
I also wouldn't say that the price drop was caused by this inflation report. The high inflation was expected and I highly doubt that anyone is surprised by the levels of inflation in the US.
The Bitcoin price couldn't break above 25K USD so many traders decided to sell and get their short term profits. The selling pressure increased and the price dropped bellow 20K USD. That's a normal thing in the market. There aren't any factors right now, that can potentially create a stable bull run and build a FOMO phase on the BTC market.

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Quote from: Jeger.Kiting on September 15, 2022, 12:37:36 AM

Don't panic too much about what happened to BTC, because I think all stocks are falling economically and will surely improve slowly. Just like BTC, which corrects its price until it completely recovers and returns to normal as usual. So keep an eye on the movement of BTC but if you invest long term, sit back and enjoy the flow of the movement, everything will be fine in the future. Wink

What do you understand by "normal as usual"?

With the volatility BTC has I don't know what you mean. In the long term the trend is clearly up but we conceive the cycles as similar, the normal thing is that until after the next halving the price won't go up much.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

Don't panic too much about what happened to BTC, because I think all stocks are falling economically and will surely improve slowly. Just like BTC, which corrects its price until it completely recovers and returns to normal as usual. So keep an eye on the movement of BTC but if you invest long term, sit back and enjoy the flow of the movement, everything will be fine in the future. Wink

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Quote from: GreatArkansas on September 14, 2022, 07:14:32 PM

I am really curious why this is happening, the dumps when the inflation report is released, maybe there are just some panic sellers who are FOMOd because of the report.

It's very simple: with the report, even more aggressive rate hikes are expected.

Some are already talking about 9%:

'Investor Mark Mobius says US interest rates could peak at 9% if inflation keeps rising. "So you have 8*% CPI. That means you have to have 9% interest rates," said Mobius, who co-founded Mobius Capital Partners after spending more than three decades at Franklin Templeton Investments.'

Mobius Sees Fed Rates as High as 9% If CPI Keeps Rising

Even without reaching that level, the most likely scenario is that rates will continue to rise, which means less money in circulation and people will have less money to invest. Investors are therefore anticipating events: they see a pessimistic scenario for financial assets and act accordingly. The news affected everything. Markets in general, not just bitcoin, for this very reason.

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Quote from: ?? on ??

People are panicking over the dump, as if this has never happened before, this might be a good opportunity to buy and bitcoin's already recovering so I don't see how it might affect it long-term.

Don't be surprised by the current decline, it's not everyone's panic, it's actually the impact of inflation that has made many stocks plummet, and not just inflation, even this includes the effects of the aftermath of yesterday's pandemic, a lot of all companies and digital investments have plummeted so Of course, we don't even know when this will end, so that's why everyone survived this onslaught..

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Quote from: blockman on September 14, 2022, 06:56:47 PM

Quote from: ?? on ??

People are panicking over the dump, as if this has never happened before, this might be a good opportunity to buy and bitcoin's already recovering so I don't see how it might affect it long-term.

Well, the difference is that to be expected, if inflation is hitting high then bitcoin should do the opposite. But I guess, thanks to the higher interest rate and that's what we're not expecting to see. Yeah, true that just look at the opportunity then.

I am really curious why this is happening, the dumps when the inflation report is released, maybe there are just some panic sellers who are FOMOd because of the report.
Even from the previous month, the dumps also happened when the inflation report is released.

On another side, if the inflation rate will decrease so Bitcoin will pump next time? It's become the opposite now.

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I was thinking of the same that bitcoin could always be the opposite when inflation is hitting that much. But we've seen that all together, the other markets have been dumping as well. I'm thinking that the party is just over and we have to be a little patient again until it goes exactly opposite again.

Quote from: ?? on ??

People are panicking over the dump, as if this has never happened before, this might be a good opportunity to buy and bitcoin's already recovering so I don't see how it might affect it long-term.

Well, the difference is that to be expected, if inflation is hitting high then bitcoin should do the opposite. But I guess, thanks to the higher interest rate and that's what we're not expecting to see. Yeah, true that just look at the opportunity then.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

No, this is not the exact opposite of what Bitcoin ought to do because it doing the exact thing programmed by Satoshi but the issue is that we ignore the fact that the Bitcoin market is currently in the correction season.
The reason behind the Bitcoin dump is not inflation.

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Quote from: Cryptmuster on September 14, 2022, 02:20:54 AM

Gold holds up well compared to other assets. And probably there will be very few panic sales now, those who wanted to have already sold. And if there are sales during a further fall, then most likely it will be speculative sales, with the expectation to sell now in order to buy it back later at a cheaper price. This fall, which is associated with the release of the inflation report, will not drag on for a long time, the market will soon recover, and in order for the fall to continue, more negative news is needed...

That is expected since gold is relatively stable than the others. It didn't drop hard so people are going to panic less and will sell not their holdings but they can always continue buying more.

Bitcoin and gold are known as speculative assets so what happened lately can also be called like that (speculative sales) but I think more people will sell at the pump than when the price is dumping because many people are also doing the same thing, making the price dump more successfully than the when it's already dumping as the majority will only buy and hodl their assets and I think that has nothing to do much with the inflation anymore.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Bitcoin dumps off a cliff..

Quote from: eddie13 on September 13, 2022, 06:49:55 PM

I don’t care about the money.. I don’t give a shit about a little drop in price as if it hurts my pocket or it’s going to shake me out.. ..

It's strange that you use such apocalyptic terms, because when something falls off a cliff, it's usually dead or broken into pieces. Do you think Bitcoin is dead, once again?

Quote from: eddie13 on September 13, 2022, 02:54:49 PM

It’s the MEANING!
The price dumping on an inflation report like this means that most of the market is in the hands of people that are in Bitcoin for the wrong reasons.. Probably only trying to profit..

We could not influence who will own Bitcoin, nor what someone will do with that same Bitcoin - and people will always find a way to turn things to their advantage, and what most believe in is money and profit. It is naive to think that Bitcoin could have remained immune to human stupidity and greed, especially if everyone is talking about the need for as much adaptation as possible. If we are going in the direction of bringing Bitcoin closer to as many people as possible, we have to accept the consequences that come with it.

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Yeah even I was shocked to see bitcoin dumping today. I could see the red candle getting bigger and bigger in front of my eyes and I was like why the hell is it happening at a time when bitcoin was recovering so nicely.
I guess even the ETH merge cannot spike up the market now since its too close now and bitcoin is falling like anything.
But why is the inflation report effecting bitcoin price so drastically. High inflation should increase the price of bitcoin isn't it ?

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In the short term I think its mostly a dump affected by the FUD. People were expecting for Bitcoin to dump along with their other investments because they do not really understand Bitcoin is a hedge against inflation. Although its not an instant hedge against inflation. If the markets are falling people expect their money to be safe in the form of traditional currency. Of course, that is a huge mistake from my perspective but again, its a superficial dump. Long term, or even in the near future, we will definitely see a pump for this very same reason. It just takes a bit longer. Thats totally fine by me. I will buy up the cheap Bitcoin and patiently wait.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

It's not actually inflation that's causing Bitcoin's decrease/fall in price. It's the actions of the FED against inflation which is causing a recession. The FED is tightening and raising rates, pulling out liquidity from the economy, which lowers demand and causes a bear market.

It may be a mistake, my mistake, to say that Bitcoin is a financial hedge against inflation. Because it might not be financial. The more I understand, I believe Bitcoin is a hedge against the cabal behind the FED. If they break the current financial system with all their policies and manipulation, Bitcoin will remain and keep chugging along producing block after block.

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Quote from: ChiBitCTy on September 13, 2022, 08:26:35 PM

I think it’s important to note that bitcoin didn’t necessarily dump on the high inflation report, the stock markets crashed today and that’s what’s caused bitcoin to take a shit. The real issue is that bitcoin can’t seem to separate itself from traditional investment markets , and yes I think this is a real issue as it continues to happen.

Maybe because people just can't move on from these traditional markets where they can't seem to make a bitcoin independent market where it doesn't need to rely on others. Right now, this is how it is but with some good positive progress in the future, it will gonna change and will gonna separate itself from the traditional market. We just need to continue supporting it so that it won't get away from its original goal and will gonna be steady progress toward a great financial revolution.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

I think we’re still so early that this shouldn’t be a surprise. We will decouple, it’s just a matter of when. Admittedly though it’s very frustrating. When bitcoin matures as an asset this kind of sell off reaction will stop. Bitcoin is still a massive inflation hedge. Add up annual inflation since 2009 & then look at how much bitcoin has increased % wise.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

You have the weak hands who aggressively dump Bitcoin to thank for that.

People for some reason think that cryptocurrencies are in the stocks & bonds category and are somehow connected to the world economy in terms of price.

But you know, I think this thinking is going to stick on people for the forseeable future. Because its the only way that governments want to recognize Bitcoin and other crypto as.

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Quote from: Franctoshi on September 13, 2022, 11:15:44 PM

It was not only Bitcoin that got the dump , Gold price dumped too and most dollar currency pairs equally got their share. This news event and uncertainty in the market for investors contributed to the dump, though I was expecting Bitcoin to have a correction immediately just after we touched the $22.6k zone, until we start getting clear picture of how the future is going to be in order for investors to gain confidence, we will continue to get panic sellers in the market.
However, Bitcoin coming back to retest the $20k level is a good correction for BTC in my own opinion, But until we start seeing further downwards movement below $19k-$18k, I still remain bullish to see Bitcoin to go tap the $25k zone again.

Gold holds up well compared to other assets. And probably there will be very few panic sales now, those who wanted to have already sold. And if there are sales during a further fall, then most likely it will be speculative sales, with the expectation to sell now in order to buy it back later at a cheaper price. This fall, which is associated with the release of the inflation report, will not drag on for a long time, the market will soon recover, and in order for the fall to continue, more negative news is needed...

worle1bm

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There were only little pumps and now we are again in the red circle with prices again fluctuating between $20k-$21k as people are again selling off the coins and investment are not at big levels.

But on the inflation rise we can assume that people's saving are becoming less as they have to spend more on the same goods and services so the bitcoin portion is shifted towards fiat only to manage the expenses.People who are in need of funds and some others who believe in nonsense talks are taking out their funds even at low levels only so this might be another reason but the situation will be normalised again with some investment at low prices and we will see recovery so just hold yourself.

Sebas.tian

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Quote

I would say that it has impacted the price, but to say that we are in a dump? I don't think so. We are in bear market, so obviously every investors is very prone to this kind of negative news and so are very trigger happy to pull the sell button if they see the price going down. But the good thing is that the bleeding has been halted and we remain above the biggest support of $20K. And this effect should be just short term, so there is no need to worry as bitcoin could gain back what we have lost today.

I agree with you, because we are in bear season which is a normal thing for Bitcoin holders to observe in this season before it will move to bull season for those that purchased when the price of Bitcoin was low in the market to sell to make a good income. I think, the price of Bitcoin will soon return back to $40,000 for Bitcoin investors to experience bullish market that will make people to believe that Bitcoin is different from fiat money in this season of high inflation in the world. Since the price of Bitcoin has moved to $21,000, showed that bear season will soon be over for both long term investors and short term investors to start earning from their investments.

Franctoshi

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..
Bitcoin dumps off a cliff..

It was not only Bitcoin that got the dump , Gold price dumped too and most dollar currency pairs equally got their share. This news event and uncertainty in the market for investors contributed to the dump, though I was expecting Bitcoin to have a correction immediately just after we touched the $22.6k zone, until we start getting clear picture of how the future is going to be in order for investors to gain confidence, we will continue to get panic sellers in the market.
However, Bitcoin coming back to retest the $20k level is a good correction for BTC in my own opinion, But until we start seeing further downwards movement below $19k-$18k, I still remain bullish to see Bitcoin to go tap the $25k zone again.

Poker Player

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Quote from: so98nn on September 13, 2022, 10:31:03 PM

Peeps around the world has to overcome the previous loans and increased interest rate is not only applicable to new applications but also to the existing loans.

That only happens in variable interest mortgages as far as I know. Or the mixed ones, which have a variable part. I don't know how it will be in India but in the rest of the loans, such as personal loans, they are usually at a fixed interest rate and it doesn't matter how much the rates go up or down once the loan is signed. You are charged the interest rate of the contract you have signed without variation.

so98nn

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Quote from: LoyceMobile on September 13, 2022, 04:25:17 PM

Markets are completely dependent on BRRR nowadays. It can only normalize when the economy makes sense again. You know, old fashioned things like positive interest and higher savings interest than inflation.

Imagine that happening after uncertain period of time. Currently the interests on the loans has increased severely, the home loans are up to 11.50%, personal loans are whooping 13% and add +1.5% on private financing in India. You can literally think about any investment at such high rates if your wallets are already fat enough. Banks however, kept the interests on Fixed deposits, Savings in the same range as it was before.

This has obviously started that chain reaction of costs on everything so even bitcoin seems to be at the side of inflation getting affected day by day.

Peeps around the world has to overcome the previous loans and increased interest rate is not only applicable to new applications but also to the existing loans.

tbct_mt2

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Bitcoin is not a bullet point against inflation caused by governments and central banks.

As an asset, it has risk for anyone who owns it but without risk, no benefit, no profit. Big risk, big profit potentially. Bitcoin nowadays is safer considerably than in 2009, 2013 or 2017 and people can consider it as a safe investment if they plan to own it about 4 to 8 years.

If anyone want to jump in and get out within a few months, 1 or 2 years, risk would be bigger. Inflation, CPI, unemployment rates and other news can affect Bitcoin and drags it down. Now people can say Bitcoin is a failed product against high inflation but in future, after a long run, they will change and say, Bitcoin is a success. It is similar to wrong judgement about Bitcoin in the past.

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

It wasn't just that. In addition, the US stock market, which was in positive territory, fell and the S&P 500 closed at -4%, and the €/$ pair, in which the € was recovering, turned completely upside down as well, because investors expect that the US monetary policy is going to tighten even more in the face of this.

Quote from: eddie13 on September 13, 2022, 02:54:49 PM

This is the exact opposite of what Bitcoin is supposed to do..

Bitcoin is not supposed to protect or fail to protect from inflation in the short term, in a few hours like yesterday. In short periods of time it gets carried away like the rest of the market, what we will have to see when this period of inflation passes is whether it has protected itself well from inflation.

Quote from: LoyceMobile on September 13, 2022, 04:25:17 PM

Markets are completely dependent on BRRR nowadays. It can only normalize when the economy makes sense again. You know, old fashioned things like positive interest and higher savings interest than inflation.

I may be wrong but I believe that higher interests than inflation will not be seen. They will raise whatever they are forced to raise but they will remain below inflation and with the desire to lower rates at the minimum that they can lower them again. Economies are too dependent on liquidity and they are already starting to have a cold turkey.

Even if Bitcoin is supposed to protect against inflation, what is clear is that in this period there is less money available and less money circulating, therefore, it is logical that there is not as much money entering the Bitcoin market.

TravelMug

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I would say that it has impacted the price, but to say that we are in a dump? I don't think so. We are in bear market, so obviously every investors is very prone to this kind of negative news and so are very trigger happy to pull the sell button if they see the price going down. But the good thing is that the bleeding has been halted and we remain above the biggest support of $20K. And this effect should be just short term, so there is no need to worry as bitcoin could gain back what we have lost today.

DapanasFruit

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Bitcoin remains the same...what is happening is that the investing market reacts to any kind of investment vehicle and that includes Bitcoin. This is the problem when an asset is included in the open market...its price can be affected by developments economically, politically and many other factors. Now, we also have to remember that Bitcoin can not live in a vacuum so there is no way to shield it from the influence of the many factors that can affect the world of investing. Maybe we should look the power of Bitcoin as anti-inflation in the long-range and not just on a day-to-day basis.

G_Besar

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

I don't think anyone strays too far from Bitcoin. Because Inflation is a decrease in purchasing power in all sectors of the economy and also the market. So what is happening to Bitcoin at this time is a natural thing and is not deviant because people are not able to make purchases gradually when inflation occurs.

Bitcoin crashes are a common occurrence, but if it is accompanied by inflation, then it is very visible as if Bitcoin is not doing what it should be doing. Though it is a natural thing and also very simple to interpret at this time.

Dave1

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

Nah, just probably some manipulation behind and wanting to cause panic which it has as it wipe out the gain that we had. So let's wait for the market to settle in, weak hands has to be shaken out, or those who wanted to sell at $22k, get their profits and then reinvent when the price goes $19k-$20k. And to be fair, not just crypto, but the traditional financial market had a major flash crash a well.

ChiBitCTy

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I think it’s important to note that bitcoin didn’t necessarily dump on the high inflation report, the stock markets crashed today and that’s what’s caused bitcoin to take a shit. The real issue is that bitcoin can’t seem to separate itself from traditional investment markets , and yes I think this is a real issue as it continues to happen.

OgNasty

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

Bitcoin is a speculative asset. It doesn't react to news or what fiat is doing. Investors saw a bad report and took profits. That's all there is to it. Over a long enough period of time Bitcoin will outperform fiat due to inflation, but it's not going to be inversely correlated with every quarterly report. When risky assets become back in favor Bitcoin will do what it does, but in bad times you must remember it is first and foremost a speculative asset (at least for now).

eddie13

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BTC or BUST

Quote from: Bitcoin_Arena on September 13, 2022, 05:30:51 PM

Also, i believe bitcoin's major purpose was to do with being an alternative electronic payment system Wink

“Chancellor on brink of second bailout for banks”

The purpose of Bitcoin is to save the people from the evils of banks, especially the feds..
To take the power of printing money away..
The financial stranglehold they keep us in.. It’s basically slavery..

Meanwhile..
“Trudeau announced C$4.5 billion ($3.43 billion) in measures on Tuesday intended to provide relief from high inflation to low-income families.” (Yeah sure)

Print more money to ease inflation caused by printing money..

I think you guys just don’t get it..

I don’t care about the money.. I don’t give a shit about a little drop in price as if it hurts my pocket or it’s going to shake me out.. Lmao no..
I really care very little about short term price changes.. It may as well be $500 because I’m not selling shit at $20,000 or $30,000 or $50,000..

It’s the MEANING!
The price dumping on an inflation report like this means that most of the market is in the hands of people that are in Bitcoin for the wrong reasons.. Probably only trying to profit..

If not manipulate the market in the direct opposite of performance that would signify it fulfilling its purpose..

AjithBtc

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That is an expected dump in the market. People who all are enjoying the increase in the price will be now thinking about the interest rate that caused the price to drop. The price that was high on $22k+ have come closer to $20k. For now the market will try to have $20k as the support level. Thats a steep decline.

Luqman

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The current dump in Bitcoin looks as usual. After Bitcoin has a little pump from September 10 to September 12, it is normal to have a dump today. As long as the Bitcoin price doesn't drop to $17k again, I think we don't need to worry about the price of Bitcoin. Remember it is a bearish period, a dump is something usual, we shouldn't be so worried about the temporary drops. I am also not really sure that the big factor to dump Bitcoin today is the high inflation.

Anyway, what is wrong with Bitcoin purpose? The current dump doesn't mean Bitcoin denies its purpose. Learn more about the factor of Bitcoin dump, it shouldn't be about inflation only, it can be about manipulation or other things.

coolcoinz

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Quote from: eddie13 on September 13, 2022, 05:24:07 PM

Heavily pumped?
To me that was more like “recovered a little”..

Call it as you will. Some people bought thousands of BTC in just 1 hour across many exchanges on September 9 and that led to the move up.

Quote

It just recovered a tiny bit and now that’s all gone..

You're wrong.
Firstly, that recovery started around 19200 and it's now at 20200 so 1k up from a few days back and more than 1.5k from the last week's lows.
Secondly, we're still in the same range we were in since June which is roughly 19 - 25k USD. It really doesn't change anything that Bitcoin goes up by 2k USD if it remains in the range. This is normal for a bear market accumulation period.

Bitcoin_Arena

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Bitcoin dumps off a cliff..

- 9% in the last 24 hours, that's a normal day in the Bitcoin market, I was hoping to see something like - 40 to 50% to call it a dump Grin

Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Has Bitcoin strayed too far from its purpose?

Depends on what time frame you are looking at. Are we going to judge Bitcoin from the time it started trading over a decade ago or from last week?

Also, i believe bitcoin's major purpose was to do with being an alternative electronic payment system Wink

eddie13

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Quote from: coolcoinz on September 13, 2022, 04:59:20 PM

Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Bitcoin dumps off a cliff...

Maybe you haven't noticed but it was heavily pumped in the last 3 days and it dumped pretty much the amount it gained in that time.
This doesn't have to mean that people are abandoning bitcoin or getting scared of the inflation report. It can simply mean that short-term traders who recently bought decided to take profits.

It's funny that bitcoin can gain 15% and then dump 10%, but people will only see the dump ignoring that it's still up 5%

Heavily pumped?
To me that was more like “recovered a little”..

It just recovered a tiny bit and now that’s all gone..

coolcoinz

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

Bitcoin dumps off a cliff...

Maybe you haven't noticed but it was heavily pumped in the last 3 days and it dumped pretty much the amount it gained in that time.
This doesn't have to mean that people are abandoning bitcoin or getting scared of the inflation report. It can simply mean that short-term traders who recently bought decided to take profits.

It's funny that bitcoin can gain 15% and then dump 10%, but people will only see the dump ignoring that it's still up 5%

Hispo

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Quote from: eddie13 on September 13, 2022, 02:54:49 PM

...
Has Bitcoin strayed too far from its purpose?

It would depend on whom you ask Wink

For some Bitcoin is supposed to be a currency, for others Bitcoin is intended to be a hedge against inflation (digital gold) and others believe Bitcoin is a commodity, etc...
I have read that Bitcoin has followed the behavior of the markets before specially the technological stocks, perhaps this is the case?

I would not panic over this news and the behavior of Bitcoin, this is a market that has proven itself to be unpredictable and volatile, we all knew we are here for a wild ride, arent we?

LoyceMobile

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Markets are completely dependent on BRRR nowadays. It can only normalize when the economy makes sense again. You know, old fashioned things like positive interest and higher savings interest than inflation.

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Quote from: MinoRaiola on September 13, 2022, 03:39:01 PM

The fear of losing money (Bitcoin) is probably even higher than the cleverness. Many are worried about the cost of electricity and gas. The additional costs are rising and many can't afford it and are tapping into their cash reserves. Investments maybe more stopped or temporarily suspended to wait for the winter.

Quote from: eddie13 on September 13, 2022, 02:54:49 PM

This is the exact opposite of what Bitcoin is supposed to do..
Has Bitcoin strayed too far from its purpose?

Example: In Turkey, inflation is +70% and the currency where accepted by the people there is dollars and euros, unfortunately not Bitcoin which should be.

As the price of everything is increasing, the value of money is increasing abnormaly. Whenever you think Bitcoin dumping will surely come up. Prices of all commodities including oil, gas have increased due to which everyone is waiting for winter season. Those who want to invest must think that if they invest in the present time, there is definitely a chance of getting something good.

MinoRaiola

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The fear of losing money (Bitcoin) is probably even higher than the cleverness. Many are worried about the cost of electricity and gas. The additional costs are rising and many can't afford it and are tapping into their cash reserves. Investments maybe more stopped or temporarily suspended to wait for the winter.

Quote from: eddie13 on September 13, 2022, 02:54:49 PM

This is the exact opposite of what Bitcoin is supposed to do..
Has Bitcoin strayed too far from its purpose?

Example: In Turkey, inflation is +70% and the currency where accepted by the people there is dollars and euros, unfortunately not Bitcoin which should be.

eddie13

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BTC or BUST

Important report comes out that inflation is pretty bad (USD)..

Bitcoin dumps off a cliff..

This is the exact opposite of what Bitcoin is supposed to do..

Has Bitcoin strayed too far from its purpose?

Topic: BTC dumps on high inflation report.. (Read 615 times)