Topic: What's going on with the dump? (Read 497 times)

Well guess what... It's not going to be all the way uphill for bitcoin.

Sometimes bitcoin does go down, and it does so because of natural volatility in the market.

There is no news this time. Not a single government coming out and saying that bitcoin is going to be banished in their country or whatever. It's just that people are selling because they've got enough profit and feel like this bull market needs a temporary rest and consolidation. Nothing else to it than that, really.

And that sell off has led to others to sell off theirs as well. Just that simple.

There's a lot of uncertainty and a lot of money has been pulled back from exchanges making the volume low. This is an opportunity for speculators to move the price with very little effort. With huge money on the marke you need a lot of coins to move the price but when people have pulled back their orders much less is needed to simulate a dump. What you're seeing as dumps is really only thousands being bought and sold. It's the same coins being moved back and forth.

After all these years, we should be familiar with this sudden dump, and sudden pump cycle of bitcoin. We should not be surprised if it happens. Sometimes it happens because of hype or FUD, sometimes it happens without any good reason. But, what we should think is what are we going to do with the situation. Hold or buy if it dumps, sell or hold if it pumps.

This is pretty much normal. I don't know why people are giving confused reactions. Markets are basically shaken and needs time to cool off. Its too early to say anything right now but I am bullish for spring still, after april.

Of course. Bitcoin usage is only a fraction of what it was before, that's why it's now much cheaper and faster. Currently 150k transactions/day vs almost 500k in december. We're now almost at the lowest amount of bitcoin usage since 12 months.

Bitcoin moves up, bitcoin moves down, that's just what crypto currencies do.
There does not need to be a reason behind those movements.

But what I find really interesting is the empty mempool!
I don't remember when I have seen the last time such an empty mempool and so low fees.
Looking at the block size, many are not even half full.

Do we have a weaker demand at the moment?

Well let's face it, BTC doesn't scale so on-chain itself per definition can NEVER become a success. I mean, even after segwit, the maximum amount of transactions is only 14 per second worldwide (before segwit it was only 7: https://en.bitcoin.it/wiki/Maximum_transaction_rate). For a payment system to become a success, it should be at least 5000x more (VISA does 65.000 per second currently). So that's a HUGE problem.

Now, when people realized that BTC will never become a success with blockchain payments because of this limit, they figured that they needed to move transactions off the chain and invented Lightning Network. But that too is a horrible & stupid idea like I explained here: https://bitcointalksearch.org/topic/reasons-why-lightning-network-will-fail-2792933

So BTC is a really nice idea in theory but just doesn't work in practice. That's why it's going to fail. And I think more and more people are starting to realize that. I mean look do you see any shops adopting BTC payments in the last few months? Quite the contrary, big shops like Steam have actually STOPPED using bitcoins (https://www.theverge.com/2017/12/6/16743220/valve-steam-bitcoin-game-store-payment-method-crypto-volatility), because of the scaling problems (and volatility). So that realization is kicking in slowly and will eventually lead to the death of BTC. It's like socialism, it may sound nice in theory but if you look at the practice (Venezuela) it just never works. If it doesn't work, eventually it will die. And that's what we're seeing now.

so you are saying that those people are controlling bitcoin prices but i don't think so who will create a suffering state for other to earn for him self i think this is just because of people selling in panic and this should be avoided,

I think the Dump on bitcoin is a deliberate thing done by big players, they are able to sell bitcoin in large quantities, resulting in a very drastic price reduction. The value of bitcoin can be played by someone, especially by big players, it is aimed to gain greater profit.

I don't see any reason why you will be in panic considering that you're still profitable by that numbers. You should strengthen you're emotions as you will not get panic if the price will go downfall. Hold could be your best strategy in this investment.

the price is not ready to pump mate and perhaps those 11k price we experience in last few days is just a testing and i think it take more weeks again before it pump due to some fake news nowadays spreading in asia which is one of the common reason why the price stock at 9k value.

The best time to buy bitcoin is in dips, it is better if you buy bitcoin the last time bitcoin touch $6k, $8800 is still high for me to invest. Even if bitcoin pumps, we all don't know or sure if bitcoin will continue to pump up. There are times that just like this, after pumping it will drop again and we can't control bitcoin for it. No one exactly know what really happens but maybe it is better if you have more patience than to make panic selling.

A correction might be taking place at this moment since bitcoin has stayed around 10,000$ only and seems it could hardly move up. I believe good thing is going to happen after all of this. I am never affected by this recent dip and if it will continue, i will wait for the last lowest price it could get and i will buy more.

This is the normal behavior of bitcoin on the market. Expect prices to continuously fluctuate or at a constant level due to external factors, such as: country prohibitions, law implementations, large trading companies releasing news on NOT to invest into bitcoin, etc. About your investment, just take it slow. Bitcoin has been showing a constant price at the market as of the moment and take this as an opportunity to invest while prices are still low.


Like what I said, this particular phenomenon is typically normal in the cryptocurrency world. Expect prices to skyrocket at some point and also expect them to decrease significantly. In my opinion, take this as an opportunity to invest more in order to take advantage of the time. But if you still feel nervous about your investments, then just wait and let time do its magic.

Im looking at the $9000-ish resistance that may be coming soon, and it will coincide with the 200 day moving average... honestly, if it doesn't hold, we are going to be going lower again, probably to retest the latest bottom, so maybe we'll have to hope for a double bottom at around $5900. Someone wants to see bitcoin going really cheap it seems, and all the idiots that panic sell as soon as they see a big red candle are going to keep pushing the inertia to either way.

Who knows, maybe we get to buy a couple of BTC on a single month again thanks to the idiots selling their coins for peanuts, so get some fiat ready.

Prices are just fluctuating in between 10k- 12k and when this barrier will be broken there will be high tide in the prices which will bless each and every investor so just wait and watch to see the charisma of bitcoin,

Rise wasn't solid because of the speed of that rise, from under 1000 to almost 20000 dollars in less then a year. Now there are few scenarios, most possible in my opinion is the one with bitcoin address full with bitcoins and couple big sales, thousands of bitcoins are sold from that address, that was the reason behind big drop, someone sold more then 10k bitcoins. Before this rise we all saw how someone bought 400 million dollars and push price over 10000 dollars, but just for short time.
When I consider everything what happened in past few months, 10k dollars for 1 bitcoin is not a bad price. We had a dip on 6k but I don't think we will see that again. Price is relatively stable and rise will come in future months. Big things doesn't happen fast, it needs time and this year just began.

The pump wasn't so solid as it looked at first impression, then the correction came really fast and here we are again at $10.000... Coincidentally the dump started when the chinese new year's holydays were ending, however I can't say with sure if there is any correlation between these two facts.

If the dump doesn't stop, then I think there is something bigger happening that is making traders and investors afraid to continue on the same rhythm.

You should not panic, the dumps or dips is just a normal process. The past few weeks dumps should have taught us a lot of things; 'learn to be patient and keep holding. If you are new to bitcoin investment, then go back and read about the history of bitcoin; there is always a possible dips here and there. If you feel you can't stand the pressure, then kindly sell off your coins because not everybody can hold.

The bolded? That's why the market is dumping. To shake you out.

Even if the long term bottom is in (and I'm still not sure of that), bear traps are necessary to provide fuel to the rally. The $11,000s was a clear resistance level. Now let's see where support lies. We could be forming the right shoulder in an inverse H&S. Or we could be dropping to re-test the $8,000s.

Previous thoughts here:
https://bitcointalksearch.org/topic/m.30495953
https://bitcointalksearch.org/topic/m.30722727