Topic: The Cause behind the Fall (Read 290 times)
I think the major cause is Korea and China being against cryptocurrency whose news is constantly taking the price of BITCOIN down and down.But be patient it will rise soon so don't panic.
I am not concerned about the current fall of all crypto currencies including bitcoin because I believe they will definitely bounce back.
But I am interested in finding what is the cause behind this? What caused people to panic and what caused all the cryptos to dip so low at once?
But I am interested in finding what is the cause behind this? What caused people to panic and what caused all the cryptos to dip so low at once?
This is not unusual drop in the crypto but the past is repeating itself along with few consequences like Korean exchangers ban and China ban. There is also part of communit which thinks that the crypto is going down this year and could drop to almost dark ages rates. But anyway we should be always positive about this market. It has got potential to rise again and show the dominance over each other. On top of this it is also mentioned everywhere that this year is going to be altcoin year. So we might see our little babies growing to teen age now. ;-) let’s not panic and forget about dips and crest.
JP MORGANS is one of the most influential people that release a news on this that really dump the coin, why did he do this? well, it is not just that whales are into it and didn't saying what really behind this! they are just dumping the bitcoin to make more bitcoin in the next few days and getting ready for lightning! LN and zap will answer this in the 1st quarter of the year!
Not all though. We all know Ethereum is getting better besides bitcoin flucking down. I strongly believe bitcoin price is going to recover may not be today or tomorrow but it will surely. So far bitcoin has not failed its believers. People just have to be patient for now.
As I know (news come from the same sourses) the reason is due to the regulation of the Chinese ICO and Korea. They both made the "NEWS" forthe crypto-currency market is goin dooown. But it's temporary, chillax.
Hey guys,
Reasons :
1) Selling orders ; when 20% of the stocks are exchanged and price all 80% at 1000X the value in one month like for Tron & co , then there are way more people holding HIGHLY PRICED Coins than people willing to buy them (20% vs 80%)
And when the 80% other holders want to benefit from the increase generated via the exchange of a minority of the tokens, boom : fall.
In order words: technical correction.
2) Regulation
3) People losing faith in crypto.
Indeed: Ripple fucked people with token that are not valuable in themselves. All educated cryptoguys know why, do your due dill on google. Tron & Verge & other Coin or even protocolls have fucked people by working differently that described.
Or more recently: MatrixChain RIGGED ICO; in regulated markets, they would go to fail for the reste of their lives.
4) Many tokens in circulation:
Too many competing tokens & protocols/coins are being exchanged right now in comparison with the real economic impact:
It means that cannibalism rate is high: value come from one to the next, without economic impact to enhance the intrinsiec value to put some price floors.
You are welcome
Reasons :
1) Selling orders ; when 20% of the stocks are exchanged and price all 80% at 1000X the value in one month like for Tron & co , then there are way more people holding HIGHLY PRICED Coins than people willing to buy them (20% vs 80%)
And when the 80% other holders want to benefit from the increase generated via the exchange of a minority of the tokens, boom : fall.
In order words: technical correction.
2) Regulation
3) People losing faith in crypto.
Indeed: Ripple fucked people with token that are not valuable in themselves. All educated cryptoguys know why, do your due dill on google. Tron & Verge & other Coin or even protocolls have fucked people by working differently that described.
Or more recently: MatrixChain RIGGED ICO; in regulated markets, they would go to fail for the reste of their lives.
4) Many tokens in circulation:
Too many competing tokens & protocols/coins are being exchanged right now in comparison with the real economic impact:
It means that cannibalism rate is high: value come from one to the next, without economic impact to enhance the intrinsiec value to put some price floors.
You are welcome
I think you have a perfect accumulation of negative forces at play this week.
1.) South Korea non stop FUD
2.) China FUD again
3.) Bitconnect in the news, adds extra fear in the market on top of everything else
4.) I think this could be a very valid point but, the Futures Market has contracts expiring today. There's a theory that Wall St ran up BTC prices in dec, shorted a ton of futures contracts, sold the BTC and now they can collect more today on the cheap when the contracts expire.
5.) Taxes, Chinese New Year, etc etc
All of these together creates quite a situation for a 30% drop. What happens next is really important.
1.) South Korea non stop FUD
2.) China FUD again
3.) Bitconnect in the news, adds extra fear in the market on top of everything else
4.) I think this could be a very valid point but, the Futures Market has contracts expiring today. There's a theory that Wall St ran up BTC prices in dec, shorted a ton of futures contracts, sold the BTC and now they can collect more today on the cheap when the contracts expire.
5.) Taxes, Chinese New Year, etc etc
All of these together creates quite a situation for a 30% drop. What happens next is really important.
Part of the reasons why there is a fall is bad press as a result of regulations from Asian markets. This is normal in the market as it will definitely rise after this phase. The market will arise again.
It's a bubble. It doesn't need news to burst.
A bubble is irrational buying pushing the price far, far higher than it can justify as more people get more excited. As soon as the excitement passes, people wonder just what the hell they poured thousands of whatever into, realise there was no reason to, and then everyone runs to the exits.
A bubble is irrational buying pushing the price far, far higher than it can justify as more people get more excited. As soon as the excitement passes, people wonder just what the hell they poured thousands of whatever into, realise there was no reason to, and then everyone runs to the exits.
There are so many cause for the fall politically but there is only two real cause for the crypto to fall. First is the correction in crypto world. Second is to attract investors, due to this price fall people will invest more.
There are some bad news from South Korea in regards with bitcoin and other crypto currencies. I think that's the main cause of the very significant slump in crypto prices these days. But I am sure, this panic will soon end and the price movement will return to normal again.
Some very unexperienced newbies in the market have played a big part in this recent correction i believe. There is no understanding of how the market works by these new people and they only know of maybe two other coins from bitcoin. They buy and trade recklessly and sell at losses so further damaging the prices instead of holding for a period to sell breakeven or in the green.
I think it's a whole mix of things rather than one specific event: China / South Korea FUD, people selling for the holidays, weak hands from new investors who had only experienced exponential growth up to this point, whales & institutional investors manipulating the price to pick up some discounted crypto etc etc.
I think that many people put a lot of money into worthless altcoins.
They started to realise that this might have been a not very wise decision and try to save what is left of their money.
So a lot of money is leaving the crypto currency industry at the moment.
And that brings every currency down.
When you look closer, you see that bitcoin is not hit as hard as most of the other major currencies.
To me that shows that trust in bitcoin is still there.
They started to realise that this might have been a not very wise decision and try to save what is left of their money.
So a lot of money is leaving the crypto currency industry at the moment.
And that brings every currency down.
When you look closer, you see that bitcoin is not hit as hard as most of the other major currencies.
To me that shows that trust in bitcoin is still there.
I always expected a bumpy ride, Wall St. is in it now, and they swing it the way they want to swing it. I looked into a futures investment vehicle that trades based on the price of btc, it has literally nothing else to do with btc, they hold none, they trade none, they literally just made it up and sold a bunch of them, then got it listed on the stock exchange through a major firm. News from Korea was already denied by Korea. They might try to tax some, even if it were true, so what. Scare some people, big deal, price will be back in no time. I think that people who rely on btc for an income might be a little put out for a week or so, but I think if everybody just holds on it's going to be just fine. Some weak kneed investors will get washed out, some people who went out on a limb a little might panic and get out, then in a few days things will get back to normal.
Noob calls bottom at 9800, buy on the dip, 13500 again in around 5 days, maybe higher and sooner.
Just my nooby opinion.
Noob calls bottom at 9800, buy on the dip, 13500 again in around 5 days, maybe higher and sooner.
Just my nooby opinion.
Definitely linked to Chinese new year sell off at start of Feb and End of Jan
Selling feeds a sell off. Two peices of bad news, some sell, other see it, sell off. Peoples stop losses start getting breached and other wave of selling. Then the Europe wakes up does the same... then America wakes up does the same... 50% sell off and counting.
For all the "argh i lost my life savings" remember a lot of people would have been sitting on a lot of profit (still are!) and decided to take what they've got.
For all the "argh i lost my life savings" remember a lot of people would have been sitting on a lot of profit (still are!) and decided to take what they've got.
I agree! Bad news after bad news, triggers a race to sell. They sell, thinking it's the only opportunity they have left to get they money back (or a fraction). Which floods the market with supply, effectively crashing its price.
But in the end of the day, who knows. Maybe someone's pulling the strings intentionally, maybe not.
there are lot of factors behind this fall. According to my knowledge the most effected factor is new investors who entered to the cryptocurrency in last months of 2017. A lot of investors among them have not good knolodge about the behavior of the market. they just wanted to test the market and gain a good profit. Because of their demand bitcoin price was increased rapidly. Other altocoin mainly depend on bitcoin. As bitcoin increase other coin also was increased. In these days new investors taking their investment back. then The prices of every coin in the market are falling continuously.
One of the reasons is that the coin holders are trying to sell their coins after they meet the sales targets, at the time of purchase they are cheap and then sell them when the price is high, if it continues like that it is very clear it will lower the price, but if for example bitcoin is used more whether supplying goods purchase transactions, bill payments and the like, may have a positive impact on bitcoin prices.
I don't think it is as simple as you think. The reason why almost all crypto is crashing because bitcoin is crashing. BTC is like the backbone of all cryptos, and they are depending to btc.
Selling feeds a sell off. Two peices of bad news, some sell, other see it, sell off. Peoples stop losses start getting breached and other wave of selling. Then the Europe wakes up does the same... then America wakes up does the same... 50% sell off and counting.
For all the "argh i lost my life savings" remember a lot of people would have been sitting on a lot of profit (still are!) and decided to take what they've got.
For all the "argh i lost my life savings" remember a lot of people would have been sitting on a lot of profit (still are!) and decided to take what they've got.
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