Altcoins are dragging down the bitcoin price,because of the day traders/pump&dump "investors" and big profit margin seekers.They are altcoins instead of btc and that's why the bitcoin price isn't going up.
Topic: Federal Reserve Blames Altcoins for Dragging Down the Bitcoin Price (Read 323 times)
February 07, 2019, 08:15:05 AM
Interesting exmaple,but the bitcoin vs.altcoin prices aren't fixed,like in this example.
Altcoins are dragging down the bitcoin price,because of the day traders/pump&dump "investors" and big profit margin seekers.They are altcoins instead of btc and that's why the bitcoin price isn't going up.
Altcoins are dragging down the bitcoin price,because of the day traders/pump&dump "investors" and big profit margin seekers.They are altcoins instead of btc and that's why the bitcoin price isn't going up.
January 22, 2019, 04:10:21 AM
one many occasions I have said in this board that the altcoin dumps which were at those specific times very big dumps caused a big sell pressure on bitcoin market and pushes its price lower because of that pressure they put on the market which would not have existed otherwise and was created because money was existing those shitcions and were going back to fiat through bitcoin.
BUT I would never go as far as saying they were "dragging bitcoin price down". if we start that theory then you should also consider the fact that the same shitcoins may have been the reason for the price rise in first place so as a result price shouldn't have gone up and consequently the altcoin dumps is not dragging price down, it shouldn't have gone up in first place!
which is mostly false in my opinion. the altcoin and ICO hype of 2017 surely contributed to bitcoin price rise but it was 90% in reverse meaning the bitcoin price rise meant more hype for them and people who were investing in bitcoin were then exposed to shitcoins and invested part of their bitcoin in them. and after their dump they went back to bitcoin not to fiat.
BUT I would never go as far as saying they were "dragging bitcoin price down". if we start that theory then you should also consider the fact that the same shitcoins may have been the reason for the price rise in first place so as a result price shouldn't have gone up and consequently the altcoin dumps is not dragging price down, it shouldn't have gone up in first place!
which is mostly false in my opinion. the altcoin and ICO hype of 2017 surely contributed to bitcoin price rise but it was 90% in reverse meaning the bitcoin price rise meant more hype for them and people who were investing in bitcoin were then exposed to shitcoins and invested part of their bitcoin in them. and after their dump they went back to bitcoin not to fiat.
January 22, 2019, 03:00:01 AM
It doesn't matter if the ratio between BTC and some alt changes. Altcoins can drag down bitcoin price and vice versa.
Unless the altcoin is ETH or LTC which has enough liquidity to be traded for USD fiat, most will need to interact with BTC to cash out.
Say someone owns some altcoin called ABC. The altcoin market is crashing and they want to get out. They can't sell ABC because there is no ABC/USD on their exchange. So they need to sell ABC and buy BTC instead and then they send that BTC to their exchange and sell for USD.
This causes selling pressure. Its completely opposite of what happened with ETH price back in 2017.
ETH price went up exponentially because people had to buy ETH to buy ICOs, so there was a shortage of ETH and caused the price go up dramatically so they could later buy the ICOs.
Unless the altcoin is ETH or LTC which has enough liquidity to be traded for USD fiat, most will need to interact with BTC to cash out.
Say someone owns some altcoin called ABC. The altcoin market is crashing and they want to get out. They can't sell ABC because there is no ABC/USD on their exchange. So they need to sell ABC and buy BTC instead and then they send that BTC to their exchange and sell for USD.
This causes selling pressure. Its completely opposite of what happened with ETH price back in 2017.
ETH price went up exponentially because people had to buy ETH to buy ICOs, so there was a shortage of ETH and caused the price go up dramatically so they could later buy the ICOs.
January 22, 2019, 01:53:02 AM
most probably we won't see any ICO bubble ever again because these silly methods of taking people's money only work once. but we will see other similar methods of taking people's money!
If it's not ICOs then it'll be something similar. Bitcoiners are mad about speculation and putting their coins to work for them. From Litecoin to Bitcoin Savings & Trust (pirateat40) to ASICminer and all sorts of other securities, to the Bitfinex crowdfunding buyout and finally the ICO craze.....History shows that bitcoiners will keep throwing their coins at risky investments.
January 22, 2019, 01:06:32 AM
For those who said that alternative coins should not blame on dragging the bitcoin price down? So who or what is responsible for this? Well, for me, this is not solely because of alts, as we can see the market changes, bitcoin affected most altcoin. When it turns red, we can also the color red below.
January 22, 2019, 12:33:48 AM
It's not contradicting, it's what I believe to be the reality, especially with what happened back in 2017.
People wonder how someone could have bought Bitcoin and Ether around their peak levels, but the fact of the matter is that most people didn't buy to invest in either of those coins, but to invest straight into ICO's. It doesn't matter what price you buy at, all you need to do is to buy x amount worth of Bitcoin or Ether to get your share of the ICO you invest in.
Whenever we see another ICO bubble develop, you can expect the same to happen again.
People wonder how someone could have bought Bitcoin and Ether around their peak levels, but the fact of the matter is that most people didn't buy to invest in either of those coins, but to invest straight into ICO's. It doesn't matter what price you buy at, all you need to do is to buy x amount worth of Bitcoin or Ether to get your share of the ICO you invest in.
Whenever we see another ICO bubble develop, you can expect the same to happen again.
do you expect another ICO bubble in the future? i've seen some people express the opinion that the regulatory crackdown has killed the odds of that.
personally, i think it's possible though. fundraisers will adjust their models towards STOs to dodge the perceived risks of ICOs. assuming bullish underlying market conditions, greed will probably take over again.
most probably we won't see any ICO bubble ever again because these silly methods of taking people's money only work once. but we will see other similar methods of taking people's money!
basically the altcoin market has always been mostly like a gambling game for most people. they go into these "groups" which may be called a premined altcoin, an ICO, a STO,... then put their money into the bowl of the owner. sometimes they get lucky and make profit and sometimes they lose. but they continue playing the new games as they come along and discard the old ones. for example these days if a coin is 100% premined people won't even look at it twice. but a couple of years ago these things were as hot as ICO in 2017.
January 22, 2019, 12:05:29 AM
It's not contradicting, it's what I believe to be the reality, especially with what happened back in 2017.
People wonder how someone could have bought Bitcoin and Ether around their peak levels, but the fact of the matter is that most people didn't buy to invest in either of those coins, but to invest straight into ICO's. It doesn't matter what price you buy at, all you need to do is to buy x amount worth of Bitcoin or Ether to get your share of the ICO you invest in.
Whenever we see another ICO bubble develop, you can expect the same to happen again.
People wonder how someone could have bought Bitcoin and Ether around their peak levels, but the fact of the matter is that most people didn't buy to invest in either of those coins, but to invest straight into ICO's. It doesn't matter what price you buy at, all you need to do is to buy x amount worth of Bitcoin or Ether to get your share of the ICO you invest in.
Whenever we see another ICO bubble develop, you can expect the same to happen again.
do you expect another ICO bubble in the future? i've seen some people express the opinion that the regulatory crackdown has killed the odds of that.
personally, i think it's possible though. fundraisers will adjust their models towards STOs to dodge the perceived risks of ICOs. assuming bullish underlying market conditions, greed will probably take over again.
January 21, 2019, 05:34:46 PM
Crypto as a whole was taken down by the sheer amount og altcoins popping up, that I believe. But there were just as responsible for taking it to the most recent peak.
You are contradicting yourself with these two statements. Or, do I need to understand like altcoins were good when bitcoin was rising but not in down-fall market. How it will be possible ? I believe altcoin space got benefited while bitcoin was attractive enough as most crypto adopter also value diversification principles. But in current markets, altcoins are misleading investors with their fake bumps, like how BCH/ETH/Waves did in very recent times.It's not contradicting, it's what I believe to be the reality, especially with what happened back in 2017.
People wonder how someone could have bought Bitcoin and Ether around their peak levels, but the fact of the matter is that most people didn't buy to invest in either of those coins, but to invest straight into ICO's. It doesn't matter what price you buy at, all you need to do is to buy x amount worth of Bitcoin or Ether to get your share of the ICO you invest in.
Whenever we see another ICO bubble develop, you can expect the same to happen again.
January 21, 2019, 12:47:09 PM
That's the worst example I have ever seen. Altcoins are not the same money as bitcoin. One 5 dollar bill is still 5 DOLLARS like as in currency of america, us dollars. One ten dollar bill is also the currency itself and they are the same money, 2 5 dollars make one 10 dollars. However, the difference between 10 dollars and 10 euro always changes, constantly changes, usually quite stable and doesn't change like crazy but no matter what happens its not always the same and changes every second.
Altcoins and bitcoins are like that, they are like dollars and euros, bitcoin is dollar whereas euro is ethereum and I am sure there are Zimbabwe money in altcoins as well but they are not 5 dollar bill and 10 dollar bill of the same currency at all, they are different currencies.
Altcoins and bitcoins are like that, they are like dollars and euros, bitcoin is dollar whereas euro is ethereum and I am sure there are Zimbabwe money in altcoins as well but they are not 5 dollar bill and 10 dollar bill of the same currency at all, they are different currencies.
January 21, 2019, 07:28:46 AM
This doesn't look relevant to me. It's an opinion of one local branch of Federal Reserve, so I would call it as an attitude of Federal Reserve in general. Also, it doesn't sound like an expert opinion and it's a bit controdictrary. And I definetely don't agree that altcoins are to blaim because of Bitcoin price, that something like this isn't relevant theory it was proved many times in the past before.
January 20, 2019, 08:00:39 PM
This article might have another clickbait for a title hehehe. Does the Federal Reserve of St. Louis' opinion in their released article share the opinion of the whole Federal Reserve? For those who do not know, the Federal Reserve Bank of St. Louis is only 1 of 12 regional Reserve banks in America.
In any case, where is the link to the Federal Reserve's article? I do not see it in ccn.com's article. Also, ccn's article appears like a hype story for Ethereum, Tron, Neo and Aelf.
In any case, where is the link to the Federal Reserve's article? I do not see it in ccn.com's article. Also, ccn's article appears like a hype story for Ethereum, Tron, Neo and Aelf.
January 17, 2019, 10:35:47 AM
The article is full of bad analogy and non-sense. But you can't expect something good about Bitcoin of some State bank.
Some altcoins are scam, but they are supported only by blindly investing people who will loose their money in one way or another.
And lately, the Bitcoin is less volatile than Apple and Top 5.
Some altcoins are scam, but they are supported only by blindly investing people who will loose their money in one way or another.
And lately, the Bitcoin is less volatile than Apple and Top 5.
January 16, 2019, 09:58:20 AM
Like all other members here, I think that Altcoin should not be blamed for dragging down the value of bitcoin, They should look at the current market situation right now and that is the bearish market that we are in right now, And I know the struggle for all digital currencies especially the Altcoins that are now delisted by many exchanged sites, And ICO projects that not reaching the Soft and Hard cap, Do you think what is the most affected by this kind of market right now? I really think the most affected in this situation are the Altcoins that are still surviving.
January 16, 2019, 07:14:38 AM
Crypto as a whole was taken down by the sheer amount og altcoins popping up, that I believe. But there were just as responsible for taking it to the most recent peak.
You are contradicting yourself with these two statements. Or, do I need to understand like altcoins were good when bitcoin was rising but not in down-fall market. How it will be possible ? I believe altcoin space got benefited while bitcoin was attractive enough as most crypto adopter also value diversification principles. But in current markets, altcoins are misleading investors with their fake bumps, like how BCH/ETH/Waves did in very recent times.I'm not contradicting myself... I'm saying that, if altcoins are to blame for "bringing down the whole market", then they must equally be given credit for the crypto market bullrun of 2017.
The problem I'm saying is that it's wrong to put the blame on alts, or anything for that matter... people have been blaming speculators, alts, whales, manipulations. But if you think about it, these were all equally responsible for inflating the market back in 2017, and no one was pointing fingers at them at the time. No, we were praising them and patting them on the back.
You're talking about misleading and fake bumps now? You're saying 2017 was all genuine?
January 15, 2019, 12:27:39 PM
Consider the following thought experiment. A restaurant selling meals for $10 will happily accept payment in the form of one Hamilton bill ($10) or two Lincoln bills ($5). That is, the nominal exchange rate between Hamilton and Lincoln bills is 2:1. Now, suppose that the supply of Lincoln bills is increased but the supply of Hamilton bills remains the same. The exchange rate remains unaffected […] That is, the increase in the supply of Lincoln bills has led to a decline in the purchasing power of both Lincoln bills and Hamilton bills, even though the supply of Hamilton bills has remained fixed. Might an expansion in the supply of Altcoin have a similar depressing effect on the price of Bitcoin?
I do not agree with this postulation, it assumed that bitcoin and the growing number of altcoin all have the same utility and cabbe used interchangeable. This is not the reality, the vast majority of altcoins and barely accepted by the cryptocurrency community, and the top 20 altcoins hold a very large percentage of the entire cryptocurrency market cap.
January 15, 2019, 12:19:00 PM
I am confident the market has been manipulated otherwise the crash couldn't be so big and so long. In my opinion, it has not been done by creating a bunch of shit coins. Who knows if the FED is trying to blame someone else to hide its own manipulations. It looks more plausible that the FED manipulated the market than a wave of shitcoins
January 15, 2019, 11:31:05 AM
it was not ALL because of altcoins but they deffinitely contributed to the bitcoin price drop. but saying they "dragged bitcoin price down" is simply false. bitcoin entered a bubble and that needed bursting and that is exactly what happened. although it then dragged on and became a lot bigger than it should have become but the heart of it was because of that bubble.
altcoins only come in when the pumpers dump them on large scale (like the $100-$150 dumps that ETH had last year) and the sheer amount of money that is fleeing the market pulls bitcoin down too because a lot of it exits through bitcoin back to fiat specially from shitcoins that don't have fiat market..
altcoins only come in when the pumpers dump them on large scale (like the $100-$150 dumps that ETH had last year) and the sheer amount of money that is fleeing the market pulls bitcoin down too because a lot of it exits through bitcoin back to fiat specially from shitcoins that don't have fiat market..
January 15, 2019, 02:15:44 AM
Crypto as a whole was taken down by the sheer amount og altcoins popping up, that I believe. But there were just as responsible for taking it to the most recent peak.
You are contradicting yourself with these two statements. Or, do I need to understand like altcoins were good when bitcoin was rising but not in down-fall market. How it will be possible ? I believe altcoin space got benefited while bitcoin was attractive enough as most crypto adopter also value diversification principles. But in current markets, altcoins are misleading investors with their fake bumps, like how BCH/ETH/Waves did in very recent times.Most altcoins are scams.
What bitcoin can do when some altcoins are truning scam ? Investor will lose hope on bitcoin too ? I do not think so. Some investors may switch over to bitcoin permanently like they will never prefer going back to altcoin investment for rest of their life. I guess altcoin scams are good for bitcoins. January 13, 2019, 04:31:24 PM
I agree with them.
Most altcoins are scams.
Most altcoins are scams.
January 13, 2019, 04:19:00 PM
I can't uderstand the logic of Federal Reserve. How altcoins can drag down the bitcoin price? Right now we have seen that really Bitcoin (BTC) has got big infuence on what is going on with the whole cryptocurrency market and when the BTC is going down than mainly most altcoins is going even lower in case of X/BTC pair.
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