Hello everybody,
In last week's there were many good News about Bitcoin, normally the Price would go to the Moon #Dell. But it goes every day down and down, also the Price is not anymore Stable, the Price goes 1 Step Up to fall hours later 2 steps down
this happened in october.
what you are finding is that popularity is rising. but the cost of mining is rising too. and ill explain the chain reaction
right now miners and investors who bought at $600 are pulling out their bitcoins and hoarding causing a volume drop. this means the investors who are using day trading buy,.. risking their stash to buy (usually keeping price up by creating buy walls) are not there.
and although volume has shrunk, the fall in price has not been big. in october we seen the $125 turn into below $100 (forgive bad memory)
this was when ASIC mining started and miners were seeing higher electric costs, so were not gonna sell at a loss, thus pulling out coin... like now.
that was a 20% drop (which if done today would see $650 turn into $520).
ok so there are some dumb people selling, but as we can see its a slowwwww movement which i dont see a problem with. because what comes next once the dumb investors have ran out of btc to sell. is that they will buy. and then even they should have realised their initial losses to not sell again at a loss, causing even them to hold.
then as i said there is less and less bitcoin to sell. meaning buyers will have to start eating up the sell wall, causing a price rise ( a price correction atleast. and they wont sell for a loss, so new buyers will continue to buy the increasing sell order prices..
one thing is for sure, if your waiting for bitcoin to be $1-500 think again, id treat this as the moment you buy in below $600 before it starts to go to $700-$1000 soon.
but thats my opinion
I like franky1's analysis. I'm hodling.
