Posted on 12/22/2017 2:00:42 AM PST by cba123
Cryptocurrency falls more than 30% in five days after troubled week but analysts say it could easily bounce back
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Bitcoin went into freefall on Friday, its price collapsing from the dizzying heights of nearly $20,000 (£14,965) earlier this week to about $13,000 after its year-end rally appeared to run out of steam.
According to the CoinDesk exchange, the cryptocurrency was trading at $13,155, a fall of over 30% in five days.
Its price has fallen by more than $2,000 in 12 hours.
(please see the link, for the full article)
(Excerpt) Read more at theguardian.com ...
Wonder why?
(That is a half, of a real question)
The way I see it, it is a collusion of fraud. Some guy writes a line of code and calls it a currency. Some very rich people, who understand the art of fleecing the stupid, invest a lot of money into it to create hype. People buy into the hype, convinced it is the real thing. The original investors cash out and, as the hype dies, the currency crashes and billions of dollars are lost, but the shysters made billions.
My half brother does this. He has a degree in English, and this company trained him to code write. I find it odd; but he is make some good $$$$$.
>The way I see it, it is a collusion of fraud. Some guy writes a line of code and calls it a currency. Some very rich people, who understand the art of fleecing the stupid, invest a lot of money into it to create hype. People buy into the hype, convinced it is the real thing. The original investors cash out and, as the hype dies, the currency crashes and billions of dollars are lost, but the shysters made billions.
Bitcoin a way around government controls on currency through a distributed network. Allows black markets to work easier, no taxation, can’t be taken by the government since there’s no central authority controlling it, etc. Digital currency is going to be a thing, but it’s not going to be bitcoin. Transaction fees are insanely high(7% in some cases) and if you don’t pay the fee it can take many hours or even days for a transaction to complete. A bitcoin transaction I did the other day took 32 hours to complete.
Bitcoin is entirely legitimate, unlike most ICOs. However, bitcoin doesn’t scale, so it takes more and more processing power per transaction thus it gets more and more expensive to use it for transactions. In the last few years, bitcoin went from a currency system to a store of value system similar to gold, but with a much, much less stable value. Its survival is doubtful without a major tech breakthrough. But since it’s easier to buy and store than gold, it’s become widely used.
Ripple is a cons where most of the coins were pre-mined by the creators and someday they’ll cash out leaving the public with nothing. Ripple also has centralized control and thus isn’t very useful for under the book activities.
I agree. It’s perfect to appeal to greedy speculators. 21 million max, amount available to mine halves every four years. At 16 million now. Add the hype you mention - brilliant scam.
In your opinion what percentage of bitcoin gets used as currency vs speculation?
30%-40% drops in BTC happen a lot (check the all time chart)...they come along the the 3x, 4x, 5x run-ups....low supply/liquidity leads to volatility. Keep “Hodling”! ;-)
I think it was a test project for the elites to see how Star Trek credits might work as well. It’s the ultimate control, because you can impoverish anybody with a push of the button.
>In your opinion what percentage of bitcoin gets used as currency vs speculation?
I really don’t know for sure. Lots of places online accept it as currency and as long as the price was trending up the slowness of the transactions wasn’t a big deal, but if the price continues to jump around this lots of places will stop accepting it. No ones want to accept payment that loses 20% of its value before the transaction clears.
Price increases are driven both by speculation and by transaction costs increasing due to increased load on the network. As network load goes up it requires more and more processing power and thus the electrical power to handle a transaction, which in turns drives up prices.
It’s not currency. Only governments have the right to issue currency. What is it? it is a nearly spherical mass of hot air surrounded by a thin film with strong surface tension.
The Global Elites’ Secret Plan for Crypto-Currencies
But, the thrust of this report language is clear. The IMF favors “permissioned” systems over “open schemes.” The IMF also favors control by a “pre-selected group of participants” or “one organization,” rather than allowing “anyone” to participate. This paper should be viewed as the first step in the IMF’s plan to migrate its existing form of world money, the special drawing right or SDR, onto a DLT platform controlled by the IMF. In time, all other forms of money would be banned. These and other developments all point toward an elite group including the IMF, JPMorgan, the Davos crowd, the IRS, SEC, and other agencies converging to shut down the existing free-wheeling blockchain ecosphere, and replace it with a “permissioned” system under “consortium” control. Big Brother is coming to the blockchain.
I’d think some folks are taking some end of year profits. I’d think US investors would hold for next years better tax rates.
"I call it a Ponzi with no one in charge. There's no Madoff, but it's working that way.” - James Rickards
The "no one in charge" is changing. The elites are secretly moving in, and have been doing so for some time.
https://seekingalpha.com/article/4115023-rickards-bitcoin-ponzi-scheme
Was listening to the radio yesterday morning and that very metric was mentioned. The show host quoted some report as saying that only 1% of all crypto-currency transactions involve actually buying material goods.
I don’t know the validity of the number; it’s the only one I’ve seen or heard, though.
I do very little trading. I bought 100 shares of a block chain innovator at $8.50. Sold 50 shares at $21.00, 50 shares at $41.00. I'm through....turned $850 into paying my property tax bill.
I'm through at least until I have more understanding of what's going on. When I sold the last 50 shares, it's because it looked like a tangent meeting asymptote situation.
I believe this. Every thing in regards to law by the left to enforce alternate norms were merely tests to see how society could be controlled.
We just had a tax plan pass that will help us grow, hence, less need for cryptocurrency by US citizens.
The announcement that Goldman Sachs was going to take control of the Bitcoin market may have had an impact.
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