Bitcoin crumbles below $40,000 on China crypto warning

Who wants to use a currency that fluctuates 30%, 60% and even 90% in a short period of time? Worthless. Only Crypto that has relatively consistent value are the stable coins like Tether, USDC, Binance USD etc. cough cough back by fiat lol :LOL:. How can Bitcoin be a store of value when it's value fluctuates wildly? It can't. So far it has been a very speculative coin which affects most of the Alt coin values since Alt coins are mostly paired with BTC for trades at exchanges.

For example to trade ARRR, the exchanges that trade ARRR mostly have a ARRR/BTC pair, some that is the only combination you can use. So for me to sell ARRR (Pirate), I put up a sell for a BTC price that is worth let say $10 per ARRR which at the time the Bitcoin price would be like .0002940 BTC ($10 value) per ARRR. Someone has to be willing to buy that trade by giving the asking BTC price or it sits there. Well due to how much BTC fluctuates, BTC drops 30% in a few hours and now my ARRR sell price went from $10 to $7 with hundreds of other sells having the same issue. This automatically drive down the Alt coin prices with Bitcoin since these Alt coin orders will be filled at the lower value BTC price. BTC has a monopoly over the Alt coins due to the pairing. Now there are more alternate pairs available but still BTC is predominate and is very unhealthy, my opinion overall for the Crypto market. So you see wide scale automatic price drops with BTC fluctuations making the market more of a frenzy with even further sells. How can one coin cause all the other ones for the most part immediately follow it? The reason is above.

China, nor Elon is the cause for BTC late fall, it was already trending that way, if that was the case then it is worthless for a store of value.
 
DPI said:
China "banning crypto" since 2014. Next China is going to ban counterfeiting!

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Outstanding charts. They really add the needed perspective on this latest Chinese statement.

Separately, think of bitcoin as a relatively illiquid asset. The prices fluctuate greatly, just as the prices of precious metals for instance.
 
noko said:
Who wants to use a currency that fluctuates 30%, 60% and even 90% in a short period of time? Worthless. Only Crypto that has relatively consistent value are the stable coins like Tether, USDC, Binance USD etc. cough cough back by fiat lol :LOL:. How can Bitcoin be a store of value when it's value fluctuates wildly? It can't. So far it has been a very speculative coin which affects most of the Alt coin values since Alt coins are mostly paired with BTC for trades at exchanges.

For example to trade ARRR, the exchanges that trade ARRR mostly have a ARRR/BTC pair, some that is the only combination you can use. So for me to sell ARRR (Pirate), I put up a sell for a BTC price that is worth let say $10 per ARRR which at the time the Bitcoin price would be like .0002940 BTC ($10 value) per ARRR. Someone has to be willing to buy that trade by giving the asking BTC price or it sits there. Well due to how much BTC fluctuates, BTC drops 30% in a few hours and now my ARRR sell price went from $10 to $7 with hundreds of other sells having the same issue. This automatically drive down the Alt coin prices with Bitcoin since these Alt coin orders will be filled at the lower value BTC price. BTC has a monopoly over the Alt coins due to the pairing. Now there are more alternate pairs available but still BTC is predominate and is very unhealthy, my opinion overall for the Crypto market. So you see wide scale automatic price drops with BTC fluctuations making the market more of a frenzy with even further sells. How can one coin cause all the other ones for the most part immediately follow it? The reason is above.

China, nor Elon is the cause for BTC late fall, it was already trending that way, if that was the case then it is worthless for a store of value.
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Can’t wait to quote this in December.
 
Manny Calavera said:
Our BTC Converted 401k has outperformed GLD by an extremely large margin since 2018. We would have lost a literal fortune had we left our 401k in the stock market back in January of 2018.
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That's a pretty bold strategy, and I'm glad it's paying off for you. I'm not quite that aggressive, and I don't think I have the option to do that with my self-directed 457 account from work (nor would I want to at this point). I'm out performing my 457 account though with crypto even after last week.
 
bizzmeister said:
Don't own even a fraction of bitcoin but if it falls anywhere near 20K, im buying 1 or 2 and holding it and hoping for it to hit 100k or close to it. I've done dumber things with that amount of money and if this even has a slight chance of happening, im in.
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The folks who got my wife and I into Crypto are saying 70k,with a 30~k floor for now,with it hitting 100k USD within 6 to 12 months ,and long term,into the +250k range. Of course that would also make the USD monopoly money at best,but thats a given either way,given the drunken spending of the last several admins in all Nations,and so many Nation states getting out of the usd and tbills since 2009. I have been trying to warn everyone who'll listen,but most think I'm crazy. I have been a part time day trader since 2011,but what really put a fire under me was the advice of my brother,who has worked for the CRA in Canada.since 1997.

In 2014 I attended a invitation only WEF/CRA(along with a handful of Fortune 500 companies that gave short presentations,IBM,Walmart,Chase,BOA,etc) seminar on UBI and Crypto and how it might be managed,in North America and Europe. Some of the things they talked about during those two days are coming about. Only time I have ever signed a NDA was then,to get into the meetings. Took everyone's cell phones and cameras,at the time I was convinced it was all crazy talk,because what they were describing was a complete upending of the cart known as our society. Crypto is the future.
 
kirbyrj said:
That's a pretty bold strategy, and I'm glad it's paying off for you. I'm not quite that aggressive, and I don't think I have the option to do that with my self-directed 457 account from work (nor would I want to at this point). I'm out performing my 457 account though with crypto even after last week.
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dodge.gif
 
Manny Calavera said:
The folks who got my wife and I into Crypto are saying 70k,with a 30~k floor for now,with it hitting 100k USD within 6 to 12 months ,and long term,into the +250k range. Of course that would also make the USD monopoly money at best,but thats a given either way,given the drunken spending of the last several admins in all Nations,and so many Nation states getting out of the usd and tbills since 2009. I have been trying to warn everyone who'll listen,but most think I'm crazy. I have been a part time day trader since 2011,but what really put a fire under me was the advice of my brother,who has worked for the CRA in Canada.since 1997.

In 2014 I attended a invitation only WEF/CRA(along with a handful of Fortune 500 companies that gave short presentations,IBM,Walmart,Chase,BOA,etc) seminar on UBI and Crypto and how it might be managed,in North America and Europe. Some of the things they talked about during those two days are coming about. Only time I have ever signed a NDA was then,to get into the meetings. Took everyone's cell phones and cameras,at the time I was convinced it was all crazy talk,because what they were describing was a complete upending of the cart known as our society. Crypto is the future.
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My concern with that line of thinking is that if there is a "global reset" or whatever you want to call it with huge societal implications, who is going to be mining to secure the network? And how would I be able to use my crypto?

I've had discussions like this before. If society implodes, fiat, gold, and crypto will all be useless. The only currency is going to be bullets...
 
DPI said:
This isn't what I was getting at. I was curious what action has been taken, because there's never been any. The reality is China has "announced they're banning crypto/bitcoin/whatever" like twelve different times on the crypto timeline, and never once followed it with any actual enforcement action. It costs nothing to press release a "ban", and the big BTC holders in the PRC - as well as any insiders with prior knowledge of the announcement - make massive profit and increase their stack in both directions each time: short positions in place ahead of the announcement, and loading up more on the dip they caused. China has actually gone to great lengths to ensure the bulk of the global BTC hashrate is within their borders - that isn't an accident, and also doesn't jibe with the PR speak about "environmental concerns".

Elon's "announcements" about environmental BTC concerns are also calculated. He's not actually as bipolar as his tweets. High profile individuals, and most countries of consequence have simply recognized and are taking advantage of the relative wild-west-ness of the crypto market, and using PR announcements that cost them nothing and make massive profit by being able to not only predict but cause the exchange rate to go in a direction they'll benefit from. India got in on the fun not long ago. Expect everyone to take a stab at it sooner or later. With the regular stock market this kind of bullshit is illegal.

The idea of truly and literally "banning crypto" would be like trying to ban air due to the nature of it, and China actually knows that.
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Exactly. Both Elon and the PRC statements are both very calculated moves,so that the Predator Class at the top of the pyramid can make large bank off Crypto,by creating FUD that 99% of the sheep swallow wholesale without any critical thought whatsoever. Musk doesn't give a damn about the environment.
 
kirbyrj said:
My concern with that line of thinking is that if there is a "global reset" or whatever you want to call it with huge societal implications, who is going to be mining to secure the network? And how would I be able to use my crypto?

I've had discussions like this before. If society implodes, fiat, gold, and crypto will all be useless. The only currency is going to be bullets...
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Screen Shot 2021-05-24 at 11.58.15 AM.png
 
kirbyrj said:
The only currency is going to be bullets...
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I pray we never get to that.

Karl Denninger at market-ticker.org wrote a series of essays years back on the implications of us reaching that level of law of the jungle. I dont think we will ever be allowed to get to that level,bar a CME of the right size,those in charge have us and our society by the throat and are keeping us managed. I highly recommend folks read "One Second After",great book. I am diabetic,and although my wife has stockpiled diabetic meds near a year and a half out,as the book illustrated even that wouldnt be enough! And I am not even on insulin,yet.

Back on topic,I do believe this latest drop is the new floor for BTC.
 
Manny Calavera said:
The folks who got my wife and I into Crypto are saying 70k,with a 30~k floor for now,with it hitting 100k USD within 6 to 12 months ,and long term,into the +250k range. Of course that would also make the USD monopoly money at best,but thats a given either way,given the drunken spending of the last several admins in all Nations,and so many Nation states getting out of the usd and tbills since 2009. I have been trying to warn everyone who'll listen,but most think I'm crazy. I have been a part time day trader since 2011,but what really put a fire under me was the advice of my brother,who has worked for the CRA in Canada.since 1997.

In 2014 I attended a invitation only WEF/CRA(along with a handful of Fortune 500 companies that gave short presentations,IBM,Walmart,Chase,BOA,etc) seminar on UBI and Crypto and how it might be managed,in North America and Europe. Some of the things they talked about during those two days are coming about. Only time I have ever signed a NDA was then,to get into the meetings. Took everyone's cell phones and cameras,at the time I was convinced it was all crazy talk,because what they were describing was a complete upending of the cart known as our society. Crypto is the future.
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Thats crazy man, thanks for sharing that info. So interesting. I also do believe that we will eventually get rid of "cash" and switch to some sort of digital currency. Sooner than later too, I think in our lifetime.
 
noko said:
Who wants to use a currency that fluctuates 30%, 60% and even 90% in a short period of time?
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Uh, stuff like this that is not regulated or monitored well or controlled.... there's a lot of people that are greatly interested in such things. It helps "clean up" various monetary problems from certain types of transactions.

If you can control the fluctuations using means that most people would never consider, then it's even more of a bonus.

Countries that care about preventing of such things (that is, evil crime), waited way way too long taking a look into this. And thus, we're left "closing the door permanently" as the answer. But as long as the vehicle exists and is of "value", all we did was create another underground washing machine. In other words, something else to "spy" on and hope.

Not saying Crypto isn't the future, but it might not be the future you wanted. Remember, if you want to get really really rich, crime is still the easiest avenue. Just something to keep in mind.
 
DPI said:
Prediction (not financial advice): Expect Elon to pump BTC back up directly or indirectly before June 30th. That's when TSLA's balance sheet has the impairment test. He's not going to let TSLA miss Q2 earnings on a dip he helped cause.
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...and not even 24hrs after my post. Don't be surprised to see more BTC fluff & pump under the guise of "savin' the environment & bringin' minin' back to Murica" get louder until at least June 30.

1621906758869.png

Not that this means taking a new BTC position now is a safe bet. China, the US Fed, or any other party of consequence could counteract his pumps with even more FUD "but wait we said we're banning crypto, super swear it this time"
 
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kirbyrj said:
My concern with that line of thinking is that if there is a "global reset" or whatever you want to call it with huge societal implications, who is going to be mining to secure the network? And how would I be able to use my crypto?

I've had discussions like this before. If society implodes, fiat, gold, and crypto will all be useless. The only currency is going to be bullets...
Click to expand...
Buy crypto AND bullets to prepare for both.

Manny Calavera said:
Karl Denninger at market-ticker.org wrote a series of essays years back on the implications of us reaching that level of law of the jungle. I dont think we will ever be allowed to get to that level,bar a CME of the right size,those in charge have us and our society by the throat and are keeping us managed. I highly recommend folks read "One Second After",great book. I am diabetic,and although my wife has stockpiled diabetic meds near a year and a half out,as the book illustrated even that wouldnt be enough! And I am not even on insulin,yet.
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Great book also: https://www.barnesandnoble.com/w/emp-jonathan-hollerman/1121769807. Apparently OSA came first - I'll have to check it out!
 
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Manny Calavera said:
Exactly. Both Elon and the PRC statements are both very calculated moves,so that the Predator Class at the top of the pyramid can make large bank off Crypto,by creating FUD that 99% of the sheep swallow wholesale without any critical thought whatsoever. Musk doesn't give a damn about the environment.
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IMO, Elon 100% cares about the environment. However he and his team have also recognized that he can make vague tweets with the words "bitcoin" and "environment" in the same sentence, and the exchange rate magically moves in a predictable direction that anyone with advance knowledge benefits from - AND it's not even illegal since we're still in wild west, pre-regulated days. Two separate things, and both things can be true. However he is also gambling with his reputation and any built-up goodwill by making statements that may be considered later to have been made in bad faith. That's why I think they're typically vague.

If I had to guess at his long game, it's not about manipulating the price to increase his holdings to move the decimal place on his personal wealth. It's to increase his crypto holdings for the leverage he believes it may give him in "Tesla-fying" cryptocurrency - to bend it into a direction that he believes will have some greater public benefit. Guys like him get off way more on feeling like they have the power to influence and change the course of things.
 
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Sure elon cares about the env. But lets also not forge tthe impact a tesla has on the environment as well, so he should not be acting like he is perfect either. Guess he is okay with kids mining cobalt for his batteries....
 
I remember when bitcoin was just a few dollars many years ago. I thought about buying 10 of them but read online articles about how unsafe it is and how it'll hack into your accounts, so I didn't.

Some alternate universe where I bought 10 or more, I'm banging nubiles, eating healthy, sleeping soundly, caring for my family, and never have to worry about money ever again.

Right now I am doing nothing like the previous mentioned.

For that, I have a severe dislike for news media that tells us what to do, and their so called experts that advise us on what is best for us. F*ck all of them.

Bitcoin is just going to grow, especially under this administration. Don't listen to the news like I did. Take smart and calculated risks, and hopefully, you'll reach something amazing.

Just my 2 cents (my only 2 cents...)
 
DPI said:
...and not even 24hrs after my post. Don't be surprised to see more BTC fluff & pump under the guise of "savin' the environment & bringin' minin' back to Murica" get louder until at least June 30.

View attachment 359556

Not that this means taking a new BTC position now is a safe bet. China, the US Fed, or any other party of consequence could counteract his pumps with even more FUD "but wait we said we're banning crypto, super swear it this time"
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When initially reading your other post, I thought it made the most sense and fits my cynical worldview. After reading this, I'm all in on this shot. All in on BTC, as well.
 
Nanogrip said:
I remember when bitcoin was just a few dollars many years ago. I thought about buying 10 of them but read online articles about how unsafe it is and how it'll hack into your accounts, so I didn't.

Some alternate universe where I bought 10 or more, I'm banging nubiles, eating healthy, sleeping soundly, caring for my family, and never have to worry about money ever again.

Right now I am doing nothing like the previous mentioned.

For that, I have a severe dislike for news media that tells us what to do, and their so called experts that advise us on what is best for us. F*ck all of them.

Bitcoin is just going to grow, especially under this administration. Don't listen to the news like I did. Take smart and calculated risks, and hopefully, you'll reach something amazing.

Just my 2 cents (my only 2 cents...)
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When Bitcoin was worth next to nothing there were plenty of normal penny stocks worth nothing as well that you could have made a fortune off of. This is nothing more than gambling. As long as you treat it as such you won’t be disappointed when you loose.
 
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