The market is still recovering from MTgox.
Soon, soon. Skyhigh.
Topic: Can anyone explain this to me? (Read 1083 times)
Basic supply and demand.
Kind of obvious. It's probably the haunt of the Mt. Gox shutdown still lingering that's making people sell their Bitcoins.
Basic supply and demand.
legendary
Activity: 1302
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there is probably a 95% chance that all governments will ban bitcoin to avoid a run on dollars to bitcoin. Remember, FDR banned gold to avoid wartime inflation from the us govt printing too much money to finance WWII.
I don't think the chances are nearly that high that ALL governments will try to ban it.
its good comparison to the gold thing with FDR, but these days we have the Internet,
its a lot different.
I also don't think there will be a "run" on dollars into bitcoins as you put it... it will
happen more slowly and also bitcoin is still too small, people will diversify into
other foreign currencies in greater volume than bitcoin for the time being.
if there is indeed a "run", i think it will be hard to stop it even if 'banned'
So what you're saying is that bitcoin is going to $500,000 ?
No. Please be a sophisticated investor and reread my post so you don't lose all your money and cry. IF bitcoin succeeds in replacing the dollar in importance as a world currency, you divide the guesstimated number of dollars out there (the us govt has not published all their dollars in circulation numbers in recent years) by the number of bitcoins in the future (21 million) and you'll get 500,000 USD per BTC. That is, IF bitcoin succeeds but keep in mind that governments derive their power from printing money so there is probably a 95% chance that all governments will ban bitcoin to avoid a run on dollars to bitcoin. Remember, FDR banned gold to avoid wartime inflation from the us govt printing too much money to finance WWII.
Because the USA is a democracy/republic, there is a small faction in govt that wants bitcoin to replace the dollar when the dollar collapses just like any other fiat currency in history. History always repeats itself. That is because if another fiat like bitcoin doesn't replace the dollar, then countries that have been hoarding gold like China will dominate the world with their gold backed currency. If the dollar collapses today, I guarantee you the Chinese will announce that the Yuan is backed by gold tomorrow.
Based on the content of the posts, I estimate that at least 20% to 50% on this forum are children under 18. This is probably if you are under 18, this is the only "investment" available to you. You can go to localbitcoins.com and buy/sell bitcoins or mine bitcoins with your parents paying the electricity bill, but you cannot call your stockbroker nor real estate agent as none of these guys will work with children. Another reason is, that old folks don't "get" new disruptive paradigm shifting technologies but kids so "get" it. Please do not put your life savings or entire college savings into bitcoin. Remember, there is a 95% chance you will lose all your money with bitcoin. Even bitcoin's greatest champions, the Winklevoss twins, only keep a small percent of their over 60 million USD fortune in bitcoin. Bitcoin is a GAMBLE, not an investment.
legendary
Activity: 1302
Merit: 1008
Core dev leaves me neg feedback #abuse #political
"bitcoin ceo commits suicide"
"canadian bitcoin exchange bankrupted by hackers"
Everyone I know said that bitcoin is unsafe because it is prone to hacking. I tried to explain that only the exchanges are unsafe from hacking but bitcoin is perfectly safe from hacking, but nobody believes me. You have to know that a lot of unsophisticated "investors" are trading bitcoin. Because bitcoin is largely unregulated and free (not completely free, see money laundering laws and tax laws), YOU have to regulate whom you choose to do business with. CAVEAT EMPTOR (buyer beware).
Currently, NO EXCHANGE meets Wall Street's standards for a safe exchange (that's why Wall Street has NOT jumped in yet). Safe exchange rules;
1. company funds are separate from customer's funds. The biggest exchange in the world, that Chinese exchange, is crazy. The funds are deposited into the CEO's PERSONAL BANK ACCOUNT. It's not a matter of if that exchange will fail like Mt Gox, but when.
2. security measures against hacking are audited by an independent cyber security entity. Campbx is audited by an independent security firm. I don't know of any others that are.
3. company is insured against loss. I don't know of any that are.
4. company has financial records that are filed publicly and transparent. None. Nada. Zilch bitcoin companies are transparent.
5. no insider trading nor other unfair trading advantage exists. If you see Mt Gox's graphs, you can see evidence of price fixing. The price changes by stair steps instead of a jagged or smooth line. Also, Camp BX has "dark pools" of orders that you are not allowed to see the size of the orders. Why are YOUR order sizes seen while others' order sizes are NOT seen? If you follow the Winkdex, you can see that there's a price difference that is significantly different across different exchanges. Why are certain exchanges very slow in cashing out your money? For example, CampBx and MtGox both did not allow easy wire transfers out for many customers. Is it because the exchange is engaging in arbitrage but preventing customers from doing so? For example, Mt gox can buy cheap bitcoins on their exchange, then sell at higher prices on other exchanges because the exchange itself can wire funds but by preventing easy withdrawals, mt gox prevents others from taking advantage of this arbitrage opportunity. I am not saying that the exchanges are doing this, but if that's not the case, then how come the price is so different in different exchanges for the SAME commodity? What's up with that Chinese exchange not charging any fees? There's no free lunch, man. So, is the "fee" a hidden one? With a lack of transparency, you'll never know.
Bitcoin is NOT an investment. It is a gamble in the greatest socio-economic techno experiment known to mankind. This may save the western powers when the dollar collapses or if Bitcoin fails, then countries such as China that hoarded gold will be the next superpowers. It is a high stakes gamble cooked up by the NSA for your hearts, minds, and wallets (google SHA-256 and bitcoin). Bitcoin IS a Ponzi scheme, but so is the dollar and all other fiat currencies. The traditional fiat currencies have had a good successful decades long run. How long a run will the new crypto currencies have? It is anybody's guess. The great thing about Bitcoin is that if it succeeds, the gains are so incredible (approx 1000x your bet at $500/btc) that even with a 5% probability of success, you still have a net gain probability due to the stupendous potential reward. 1000x0.05 = 50. In other words, the odds are 50 to 1 IN your favor. Sure, you have a 95% chance of losing all your money, but the money is 50 to 1 IN your favor. There is no better gamble on earth for the gambler before or since in all of human history. I can guarantee you this. To those of you who lost money in Mtgox, remember, you have a 95% probability of losing ALL your money in Bitcoin. Have fun and roll the dice, ladies and gentlemen....
"canadian bitcoin exchange bankrupted by hackers"
Everyone I know said that bitcoin is unsafe because it is prone to hacking. I tried to explain that only the exchanges are unsafe from hacking but bitcoin is perfectly safe from hacking, but nobody believes me. You have to know that a lot of unsophisticated "investors" are trading bitcoin. Because bitcoin is largely unregulated and free (not completely free, see money laundering laws and tax laws), YOU have to regulate whom you choose to do business with. CAVEAT EMPTOR (buyer beware).
Currently, NO EXCHANGE meets Wall Street's standards for a safe exchange (that's why Wall Street has NOT jumped in yet). Safe exchange rules;
1. company funds are separate from customer's funds. The biggest exchange in the world, that Chinese exchange, is crazy. The funds are deposited into the CEO's PERSONAL BANK ACCOUNT. It's not a matter of if that exchange will fail like Mt Gox, but when.
2. security measures against hacking are audited by an independent cyber security entity. Campbx is audited by an independent security firm. I don't know of any others that are.
3. company is insured against loss. I don't know of any that are.
4. company has financial records that are filed publicly and transparent. None. Nada. Zilch bitcoin companies are transparent.
5. no insider trading nor other unfair trading advantage exists. If you see Mt Gox's graphs, you can see evidence of price fixing. The price changes by stair steps instead of a jagged or smooth line. Also, Camp BX has "dark pools" of orders that you are not allowed to see the size of the orders. Why are YOUR order sizes seen while others' order sizes are NOT seen? If you follow the Winkdex, you can see that there's a price difference that is significantly different across different exchanges. Why are certain exchanges very slow in cashing out your money? For example, CampBx and MtGox both did not allow easy wire transfers out for many customers. Is it because the exchange is engaging in arbitrage but preventing customers from doing so? For example, Mt gox can buy cheap bitcoins on their exchange, then sell at higher prices on other exchanges because the exchange itself can wire funds but by preventing easy withdrawals, mt gox prevents others from taking advantage of this arbitrage opportunity. I am not saying that the exchanges are doing this, but if that's not the case, then how come the price is so different in different exchanges for the SAME commodity? What's up with that Chinese exchange not charging any fees? There's no free lunch, man. So, is the "fee" a hidden one? With a lack of transparency, you'll never know.
Bitcoin is NOT an investment. It is a gamble in the greatest socio-economic techno experiment known to mankind. This may save the western powers when the dollar collapses or if Bitcoin fails, then countries such as China that hoarded gold will be the next superpowers. It is a high stakes gamble cooked up by the NSA for your hearts, minds, and wallets (google SHA-256 and bitcoin). Bitcoin IS a Ponzi scheme, but so is the dollar and all other fiat currencies. The traditional fiat currencies have had a good successful decades long run. How long a run will the new crypto currencies have? It is anybody's guess. The great thing about Bitcoin is that if it succeeds, the gains are so incredible (approx 1000x your bet at $500/btc) that even with a 5% probability of success, you still have a net gain probability due to the stupendous potential reward. 1000x0.05 = 50. In other words, the odds are 50 to 1 IN your favor. Sure, you have a 95% chance of losing all your money, but the money is 50 to 1 IN your favor. There is no better gamble on earth for the gambler before or since in all of human history. I can guarantee you this. To those of you who lost money in Mtgox, remember, you have a 95% probability of losing ALL your money in Bitcoin. Have fun and roll the dice, ladies and gentlemen....
So what you're saying is that bitcoin is going to $500,000 ?
I think the MtGoxxed scandal and what most likely is not be the real Satoshi caused the recent fall in Bitcoin.
Hello, so bitcoin went up to 680 even 710 dollars in the beginning of the week and everyone expected it to hold this price or even rise more. Now it's falling down and i don't see why. There are no news from mtgox or any bad news at all. Do you guys have any explanations for why is this happening? 
It's called supply and demand. Price moves for one reason and one reason only: the buying and selling that
is actually going on. News can influence opinion and sentiment, but price only moves because of actual
market activity.
We have a winner.
Care to try again?
You'll never correct me. *evil laugh* HaHaHaHa
"bitcoin ceo commits suicide"
"canadian bitcoin exchange bankrupted by hackers"
Everyone I know said that bitcoin is unsafe because it is prone to hacking. I tried to explain that only the exchanges are unsafe from hacking but bitcoin is perfectly safe from hacking, but nobody believes me. You have to know that a lot of unsophisticated "investors" are trading bitcoin. Because bitcoin is largely unregulated and free (not completely free, see money laundering laws and tax laws), YOU have to regulate whom you choose to do business with. CAVEAT EMPTOR (buyer beware).
Currently, NO EXCHANGE meets Wall Street's standards for a safe exchange (that's why Wall Street has NOT jumped in yet). Safe exchange rules;
1. company funds are separate from customer's funds. The biggest exchange in the world, that Chinese exchange, is crazy. The funds are deposited into the CEO's PERSONAL BANK ACCOUNT. It's not a matter of if that exchange will fail like Mt Gox, but when.
2. security measures against hacking are audited by an independent cyber security entity. Campbx is audited by an independent security firm. I don't know of any others that are.
3. company is insured against loss. I don't know of any that are.
4. company has financial records that are filed publicly and transparent. None. Nada. Zilch bitcoin companies are transparent.
5. no insider trading nor other unfair trading advantage exists. If you see Mt Gox's graphs, you can see evidence of price fixing. The price changes by stair steps instead of a jagged or smooth line. Also, Camp BX has "dark pools" of orders that you are not allowed to see the size of the orders. Why are YOUR order sizes seen while others' order sizes are NOT seen? If you follow the Winkdex, you can see that there's a price difference that is significantly different across different exchanges. Why are certain exchanges very slow in cashing out your money? For example, CampBx and MtGox both did not allow easy wire transfers out for many customers. Is it because the exchange is engaging in arbitrage but preventing customers from doing so? For example, Mt gox can buy cheap bitcoins on their exchange, then sell at higher prices on other exchanges because the exchange itself can wire funds but by preventing easy withdrawals, mt gox prevents others from taking advantage of this arbitrage opportunity. I am not saying that the exchanges are doing this, but if that's not the case, then how come the price is so different in different exchanges for the SAME commodity? What's up with that Chinese exchange not charging any fees? There's no free lunch, man. So, is the "fee" a hidden one? With a lack of transparency, you'll never know.
Bitcoin is NOT an investment. It is a gamble in the greatest socio-economic techno experiment known to mankind. This may save the western powers when the dollar collapses or if Bitcoin fails, then countries such as China that hoarded gold will be the next superpowers. It is a high stakes gamble cooked up by the NSA for your hearts, minds, and wallets (google SHA-256 and bitcoin). Bitcoin IS a Ponzi scheme, but so is the dollar and all other fiat currencies. The traditional fiat currencies have had a good successful decades long run. How long a run will the new crypto currencies have? It is anybody's guess. The great thing about Bitcoin is that if it succeeds, the gains are so incredible (approx 1000x your bet at $500/btc) that even with a 5% probability of success, you still have a net gain probability due to the stupendous potential reward. 1000x0.05 = 50. In other words, the odds are 50 to 1 IN your favor. Sure, you have a 95% chance of losing all your money, but the money is 50 to 1 IN your favor. There is no better gamble on earth for the gambler before or since in all of human history. I can guarantee you this. To those of you who lost money in Mtgox, remember, you have a 95% probability of losing ALL your money in Bitcoin. Have fun and roll the dice, ladies and gentlemen....
"canadian bitcoin exchange bankrupted by hackers"
Everyone I know said that bitcoin is unsafe because it is prone to hacking. I tried to explain that only the exchanges are unsafe from hacking but bitcoin is perfectly safe from hacking, but nobody believes me. You have to know that a lot of unsophisticated "investors" are trading bitcoin. Because bitcoin is largely unregulated and free (not completely free, see money laundering laws and tax laws), YOU have to regulate whom you choose to do business with. CAVEAT EMPTOR (buyer beware).
Currently, NO EXCHANGE meets Wall Street's standards for a safe exchange (that's why Wall Street has NOT jumped in yet). Safe exchange rules;
1. company funds are separate from customer's funds. The biggest exchange in the world, that Chinese exchange, is crazy. The funds are deposited into the CEO's PERSONAL BANK ACCOUNT. It's not a matter of if that exchange will fail like Mt Gox, but when.
2. security measures against hacking are audited by an independent cyber security entity. Campbx is audited by an independent security firm. I don't know of any others that are.
3. company is insured against loss. I don't know of any that are.
4. company has financial records that are filed publicly and transparent. None. Nada. Zilch bitcoin companies are transparent.
5. no insider trading nor other unfair trading advantage exists. If you see Mt Gox's graphs, you can see evidence of price fixing. The price changes by stair steps instead of a jagged or smooth line. Also, Camp BX has "dark pools" of orders that you are not allowed to see the size of the orders. Why are YOUR order sizes seen while others' order sizes are NOT seen? If you follow the Winkdex, you can see that there's a price difference that is significantly different across different exchanges. Why are certain exchanges very slow in cashing out your money? For example, CampBx and MtGox both did not allow easy wire transfers out for many customers. Is it because the exchange is engaging in arbitrage but preventing customers from doing so? For example, Mt gox can buy cheap bitcoins on their exchange, then sell at higher prices on other exchanges because the exchange itself can wire funds but by preventing easy withdrawals, mt gox prevents others from taking advantage of this arbitrage opportunity. I am not saying that the exchanges are doing this, but if that's not the case, then how come the price is so different in different exchanges for the SAME commodity? What's up with that Chinese exchange not charging any fees? There's no free lunch, man. So, is the "fee" a hidden one? With a lack of transparency, you'll never know.
Bitcoin is NOT an investment. It is a gamble in the greatest socio-economic techno experiment known to mankind. This may save the western powers when the dollar collapses or if Bitcoin fails, then countries such as China that hoarded gold will be the next superpowers. It is a high stakes gamble cooked up by the NSA for your hearts, minds, and wallets (google SHA-256 and bitcoin). Bitcoin IS a Ponzi scheme, but so is the dollar and all other fiat currencies. The traditional fiat currencies have had a good successful decades long run. How long a run will the new crypto currencies have? It is anybody's guess. The great thing about Bitcoin is that if it succeeds, the gains are so incredible (approx 1000x your bet at $500/btc) that even with a 5% probability of success, you still have a net gain probability due to the stupendous potential reward. 1000x0.05 = 50. In other words, the odds are 50 to 1 IN your favor. Sure, you have a 95% chance of losing all your money, but the money is 50 to 1 IN your favor. There is no better gamble on earth for the gambler before or since in all of human history. I can guarantee you this. To those of you who lost money in Mtgox, remember, you have a 95% probability of losing ALL your money in Bitcoin. Have fun and roll the dice, ladies and gentlemen....
Now it's falling down and i don't see why. There are no news from mtgox or any bad news at all. Do you guys have any explanations for why is this happening?
Even if prices are going up -- it's rarely monotonically increasing, or a direct unbent curve.
Not enough buyers or sellers will always agree on the direction of what is the right price now.
The market doesn't need a reason to "shift", in terms of buyers and sellers; sometimes, it just does, and then sometimes there will be folks trying to rationalize an explanation after the fact --- explanations which might or might not be useful or even accurate.
When the number of sellers willing to sell at $X runs out, and the number of buyers willing to buy at $X-1 is still sufficient, price will fall by a unit.... if not, trading volume drops until there are sellers who can meet a bid or buyers who can meet an ask.
Could also be traders/bots moving the markets slowly trying to induce panic.
Generally if there hasn't been any notable news, it's the above.
Generally if there hasn't been any notable news, it's the above.
Hello, so bitcoin went up to 680 even 710 dollars in the beginning of the week and everyone expected it to hold this price or even rise more. Now it's falling down and i don't see why. There are no news from mtgox or any bad news at all. Do you guys have any explanations for why is this happening?
Listen very carefully: The current FIAT fluctuations are extremely unimportant in the big-picture of bitcoin. They don't matter, at all, unless you are day-trading crypto. Stop paying attention to them, seriously. Long term, every bitcoin is worth INFINITE dollars, INFINITE yuan, INFINITE any FIAT currency, because FIAT currencies only survive as long as the empire's upon which they are based.
Cryptocurrency is world-wide, civilization-spanning, and relatively eternal by comparison to FIAT. Buying bitcoin at ANY price today - be it $5 or $5,000 - is still a very smart and very profitable middle-term (3-6 years) investment. You WILL get rich, even if you don't buy-in till 5 grand or 10 grand or 20 grand, it will ALWAYS go up, big-picture, long term.
Get it?
Thanks for all the answers!
Hello, so bitcoin went up to 680 even 710 dollars in the beginning of the week and everyone expected it to hold this price or even rise more. Now it's falling down and i don't see why. There are no news from mtgox or any bad news at all. Do you guys have any explanations for why is this happening?
It's called supply and demand. Price moves for one reason and one reason only: the buying and selling that
is actually going on. News can influence opinion and sentiment, but price only moves because of actual
market activity.
We have a winner.
Care to try again?
Hello, so bitcoin went up to 680 even 710 dollars in the beginning of the week and everyone expected it to hold this price or even rise more. Now it's falling down and i don't see why. There are no news from mtgox or any bad news at all. Do you guys have any explanations for why is this happening?
It's called supply and demand. Price moves for one reason and one reason only: the buying and selling that
is actually going on. News can influence opinion and sentiment, but price only moves because of actual
market activity.
We have a winner.
legendary
Activity: 1302
Merit: 1008
Core dev leaves me neg feedback #abuse #political
Hello, so bitcoin went up to 680 even 710 dollars in the beginning of the week and everyone expected it to hold this price or even rise more. Now it's falling down and i don't see why. There are no news from mtgox or any bad news at all. Do you guys have any explanations for why is this happening?
It's called supply and demand. Price moves for one reason and one reason only: the buying and selling that
is actually going on. News can influence opinion and sentiment, but price only moves because of actual
market activity.
Price flucuations are normal, $50 difference is actually extremely small for bitcoins don't you think?
This is just a guess, people are worried about a satoshi or gox dump of coins so they are selling
Hello, so bitcoin went up to 680 even 710 dollars in the beginning of the week and everyone expected it to hold this price or even rise more. Now it's falling down and i don't see why. There are no news from mtgox or any bad news at all. Do you guys have any explanations for why is this happening?
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