How would Bitcoin react to a global financial crisis? - page 6.

squatz1

legendary

Activity: 1666

Merit: 1285

Flying Hellfish is a Commie

Quote from: Bobby park on January 06, 2018, 11:34:45 PM

Quote from: squatz1 on January 06, 2018, 10:56:00 PM

I don't think I can agree with this at all, you have to think that in its current state a ton of people in Bitcoin is being used by people as an investment with the money that they can afford to put into it. If the global economy and financial institutions were to have a crisis people would pull this money immediately, as they need it for their real lives.

People would pull out the price would crash and then most likely come back up, but who knows.

Yes! Probably when there is financial crisis, people are withdrawing their any investment just to survive in the crisis and to live even there is economic problems.
We cannot rely 100% in bitcoin during crisis times. When all people pull out their investment. Bitcoin price will fall and that will be the cause of crisis.

I'm not saying it's going to be the cause of the crisis, but I think that the mindset of a lot of people here is that the bitcoin price is countercyclical to the overall global economy -- though this couldn't be any farther than the truth. As Bitcoin has never experienced anything in relation to a global crisis, it only gained real popularity in 2011 (way after the 2008 banking crisis)

So Bitcoin will take a beating after a crisis, I know that much.

Bobby park

member

Activity: 546

Merit: 24

Quote from: squatz1 on January 06, 2018, 10:56:00 PM

I don't think I can agree with this at all, you have to think that in its current state a ton of people in Bitcoin is being used by people as an investment with the money that they can afford to put into it. If the global economy and financial institutions were to have a crisis people would pull this money immediately, as they need it for their real lives.

People would pull out the price would crash and then most likely come back up, but who knows.

Yes! Probably when there is financial crisis, people are withdrawing their any investment just to survive in the crisis and to live even there is economic problems.
We cannot rely 100% in bitcoin during crisis times. When all people pull out their investment. Bitcoin price will fall and that will be the cause of crisis.

squatz1

legendary

Activity: 1666

Merit: 1285

Flying Hellfish is a Commie

Quote from: anonbit992 on January 06, 2018, 08:21:38 PM

I am of the opinion that bitcoin's value in dollars will shoot up like crazy! Bitcoin is used by people (at least some of them!) as an investment and as a hedge against inflation. It is the new gold! So yeah, bitcoin will appreciate even further in value and more people will start to use it.

I don't think I can agree with this at all, you have to think that in its current state a ton of people in Bitcoin is being used by people as an investment with the money that they can afford to put into it. If the global economy and financial institutions were to have a crisis people would pull this money immediately, as they need it for their real lives.

People would pull out the price would crash and then most likely come back up, but who knows.

fiulpro

hero member

Activity: 1862

Merit: 830

I do think that during a financial crisis the value of bitcoins instead of rising will fall for sure , because it's not like gold , it's not fixed instead bitcoins lead to value when they finally gets investments coming their way and in that sense during a crisis there won't be much money to be invested , instead people will try to take money from wherever they can and thus I answered like this , it's really weird to think that it's value will rise that senario is kind of impossible , but it may if it dominates the cryptocurrency market.

anonbit992

sr. member

Activity: 378

Merit: 251

A Trader & An Investor

I am of the opinion that bitcoin's value in dollars will shoot up like crazy! Bitcoin is used by people (at least some of them!) as an investment and as a hedge against inflation. It is the new gold! So yeah, bitcoin will appreciate even further in value and more people will start to use it.

thecryptillian

newbie

Activity: 28

Merit: 0

It has been 10 years since the 2008 financial crisis and there are a number of financial experts out there predicting doom and gloom to hit the financial world this year. To be fair, every new year brings new crazy predictions, so, although I am not reading too much into it, It did get me thinking - how would bitcoin hold up during a financial crisis.

We know gold is able to withstand a crisis, but with the price of gold very much being controlled nowadays, it might not be a good idea to use them as a comparison.

Interested to know peoples thoughts on the matter, what do you think would happen to bitcoin during a financial crisis?

Topic: How would Bitcoin react to a global financial crisis? - page 6. (Read 540 times)