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Bitcoin drops below $20k, Ether cracks $1k – what this means
- haskellandchill 4y agoBitcoin should trade in the 4 digits, greed and manipulation created the crazy 5 digit trading we've seen over the past 4 years. Shake out the scammers and build things. Earn 100k.
- kosherhurricane 4y agoWhy stop at 4 digits? Why not 3? 2? 1? Like good ol' Warren Buffet has said, bitcoin has no intrinsic useful value, unlike gold or even lead. It's tulips all the way down.
- haskellandchill 4y agoThere is some value, there are some use cases. Ukraine demonstrated use cases for a variety of crypto assets recently. I used Monero to buy drugs a few months ago, etc.
- sockopen 4y agoWhy stop at positive integers? Why not -3? A? Horse?
- LegitShady 4y ago>It's tulips all the way down. you can technically eat a tulip. It's less useful than tulips
- Asparagirl 4y agoAnd if soil, sun, water, and temperature conditions are right, tulip bulbs multiply after a few years in the ground.
- closedloop129 4y agoTulips have an inherent value and so do Bitcoins. Bitcoins are a tool to transfer and store value. There are transactions that are more expensive in the traditional banking system. Determine their value and the time they need to stay in Bitcoin, and you know the minimum market capitalization of Bitcoin. On top of that, you have people who want to diversify their investment portfolio. They keep some of their value in Bitcoins and thus reduce the supply of available coins for transactions which increases the market capitalization because you have to transfer the same amount of value with less coins.
- jimsmart 4y ago> Bitcoins are a tool to transfer and store value. They're way too volatile to be any useful kind of store of value, as this month's ~33% drop in value has just proven. Nobody wants their stored value to depreciate that quickly and unexpectedly. That's simply not a good store of value — arguably it's not a store of value at all by most definitions.
- haskellandchill 4y agoEven with such volatility they are usable, but it's certainly not ideal.
- moneywoes 4y agoWhy is Bitcoin so heavily correlated with QQQ and interest rates? Weren’t proponents adamant it was a good hedge?
- dom96 4y agoI keep saying this and recently was told by someone that "during a crash all asset correlations tend to 1". Not sure how much there is behind that, but I'm skeptical: Bitcoin is finally proving more and more to be at worst a scam and at best a far too over-valued currency.
- nonameiguess 4y agoThis probably seems trivial, but real hedges, i.e. shorts, puts, credit default swaps, and insurance policies against whatever is crashing, will go up in value during a crash.
- repomies69 4y agoIt is good hedge only after the excess leverage is squeezed out of it. Saylor and his buddies have been promoting leverage a lot, and now we see the results.
- UncleMeat 4y ago“Store of value. Resistant to inflation.”
- sem000 4y agoI keep saying the same exact thing. I never bought into, but wasn’t this one of the main “selling points” of bitcoin?
- bombcar 4y agoThis was the story quite awhile ago, when it was uncorrelated (basically, because it was unknown). Just like "instant payments" and "non-inflationary" those have sailed. "Store of value" is looking a little weak. "Transfer funds to Russia" is holding out ok.
- Overtonwindow 4y agoBuy.
- fny 4y agoLol, its going a lot lower. Probably sub $10K.
- kosherhurricane 4y agolol, it's going a lot lower. Probably zero.
- fny 4y agoZero is stupid.
- krzyk 4y agoProbably not, last time (~4 years ago) it went ~75% down, so now it most probably will go to max 15k.
- kareemsabri 4y ago*Past performance may not be indicative of future results.
- krzyk 4y agoYes, that's why I wrote "probably".
- deleted 4y ago[deleted]
- shkkmo 4y agoThat seems like some wishful induction.
- katmannthree 4y ago
- eqmvii 4y agoHopefully it means more people sober up about the shell game that is crypto, and we get some common sense regulation to stop the proliferation of get rich quick schemes and outright scams.
- 0daystock 4y agoLet's hear some of this "common sense" regulation that will allegedly arrest scams and illicit schemes.
- SpicyLemonZest 4y agoI don’t think there’s a silver bullet, but common sense regulation should be able to stop things like the Stablegains fiasco, where VCs pay to promote an obviously fraudulent 15% earnings guarantee backed by investing in a Ponzi scheme. Impose disclosure requirements when crypto companies make income promises or something.
- davidgerard 4y agoI absolutely blame regulators for not enforcing existing laws against these blatant frauds. Celsius was based in New Jersey!
- 0daystock 4y agoWe need laws now to outlaw securities and commodities fraud, and other types of Ponzi schemes! On wait, those are already on the books.
- jjeaff 4y agoAnd those laws do help. It is harder to commit such schemes due to disclosure laws. Scams like Bernie Madoff's would be more difficult today due to more stringent auditing and reporting requirements that allow regulators to check up on trades and balances in accounts. Such laws don't really apply to crypto schemes. And they definitely should.
- 4y ago
- daenz 4y agoWhat is the psychological phenomenon called for when an asset prefers nice round numbers?
- adharmad 4y agoRound number bias?
- im3w1l 4y agoSupport if it's being approached from above, and resistance if it's being approached from below. https://www.investopedia.com/trading/support-and-resistance-basics/ https://www.investopedia.com/trading/support-and-resistance-...
- daenz 4y agoThank you! It's incredible how once BTC lost the $20k support, it fell down to the next nice round significant-ish number, ~$19k. The psychology of this seems to be very powerful.
- davidgerard 4y agoOP here. Per the article, it's not "psychology" - it's a whole lot of borrowing on the defi markets that will automatically be liquidated if the number goes too low. You could actually watch these guys in real time, pumping scarce actual-dollars into the market to pump the price. And then sellers dumping directly into the pump. "Thanks for the exit liquidity!"
- TedDoesntTalk 4y agoI don’t understand why the dumpers need the pumpers’ actual-dollars to dump. I thought, when you sell on an exchange, the exchange is obligated to give you actual-dollars no matter what?
- davidgerard 4y ago
- mikewarot 4y agoI hope someone at Archive.org saves the Bitcoin, Etherium, DogeCoin and other blockchains. It would be nice to have all of the transactions saved saved somewhere, along with their source code, white papers, and other documents. [Edit] Are there archives of the various forks of Bitcoin? What about all the "shitcoins"? Unless there's an active effort to save them, the blockchains aren't native to the web, and will get lost to history.
- deleted 4y ago[deleted]
- badkitty99 4y ago
- ls15 4y agoThere is software that can download the blockchain to your computer
- 5e92cb50239222b 4y agoYeah, it's called a Bitcoin client.
- jtvjan 4y agoThere's 15.000 computers in the Bitcoin swarm right now, and I bet there's many more that have it downloaded that aren't running the client right now. I doubt the blockchain itself needs an archiving effort any time soon.
- volkk 4y agonot sure if this comment is satire or not, but hilarious nonetheless
- mikewarot 4y agoSomewhere in the back of my brain, a little "someone should save it" bell went off. The rest of my brain went "Ha ha, funny!".... then went on to... hmmm... there's a kernel of truth there, and what about blockchains in general. This it went from passing snark, not worthy of anything but a rant/downvote, into the thread you see before you. It's a weird thought to have an archive of a currency. Imagine being able to explore the history of all the tally sticks that were used, then deliberately destroyed in 1834[1] [1] - https://en.wikipedia.org/wiki/Burning_of_Parliament https://en.wikipedia.org/wiki/Burning_of_Parliament
- oblio 4y ago> People have forgotten what unregulated markets are like. They assume a century of pretty good securities regulation, and the orderly markets and general prosperity that flowed from that, are normal — because it’s all they’ve ever known. > But it’s not normal. It’s a lot of work to regulate a marketplace so that it’s free enough to work and innovate but not collapse, and the crooks are kept at least manageable. > Crypto is almost entirely unregulated. Daily reminder that the population at large has enough idiots (hard to quantify, maybe 20%?) and crooks (also maybe 20%?) that the rest of us folks in the middle need to accept regulation because otherwise all the idiots would starve and probably kill us all in desperation while the crooks would destroy everything in their path (look at Putin).
- api 4y agoOne takeaway I've gotten from cryptocurrency is the sense that money "wants" to misbehave. It "wants" to scam, pump and dump, make bubbles, and especially to gamble. It's incredibly difficult to get money to do things that are constructive. Of course money doesn't "want" anything. That's a metaphor. The real driver is human cognitive biases and the dopamine loop. Gambling and scams provide a Skinner box type environment that plugs right into our closed dopamine loop systems. Productive investments often do not. They take too long to mature, are too risky (individually but not necessarily in aggregate), and are too hard. The path of least resistance for economic activity is something like those casino-like loot box games but with markets and pseudo-investments. Without heavy regulation money will just gamble and scam and gamble and scam. The only way to get it to do anything productive is to systematically block off the other avenues, which is an endless game of whack a mole against both the natural organic tendencies of human beings and the large number of hustlers and sociopaths who love to take advantage of them. As the USA has demonstrated, this does not require a fully planned economy with a total loss of freedom. It just requires that there be barriers in place to prevent people from advertising casino chips and pyramid schemes as investments, and requiring that such things be gated at the very least by disclaimers that explain what they actually are. The term investment should be reserved for actual investments. This is actually protecting people from fraud, which is a legitimate function of government in a free society. Our execution of it has of course been flawed and sloppy, but that's real political systems for you. It's better than nothing. Absolute anarchy is not freedom. It's the rule of the nearest thug with the biggest stick... or the best grift in the case of markets. The "big stick" is a deceptive pitch that hooks your dopamine system and drains you.
- Markoff 4y agodo we really need 4+ discussions in span of few hours about bitcoin dropping under 20K? I wish HN had some rule about duplicates
- h2odragon 4y agoThere's a lot of interest, and emotion. Lotta people were eager to see "crypto" fulfill promised possibilities and disappointed when it became a re-run of every financial scam in the book. Many points of view to discuss. I haven't yet seen the "phoenix" take; where the CBDC's are unveiled as the promised nirvana and there's going to be butterflies and unicorns again. I'm sure it is out there.
- dubswithus 4y agoAnyone that thinks CBDC's are going to replace crypto are mistaken. The use cases aren't the same. But I have seen a comment claim this.
- soared 4y ago1. I’m incredibly glad this happened on a Friday night. That gives the actual market 2 days of relaxing before they really have to respond to this. 2. It’s interesting the author is saying the collapse already occurred (60k->20k) but also it will continue to crash. With stocks the company’s actual assets/etc create a price floor, but with Bitcoin the theoretical floor is zero? 3. All eyes on tether, it feels like that may be the final punch for crypto.
- IdEntities 4y agoI would still be more focused on DeFi and maybe large leveraged positions like Saylor's over Tether, which is ultimately backed by Bitfinex, a highly profitable crypto exchange which is probably still doing decent volumes during this down wave. If Tether does fail it might very well come toward the tail end of crypto price declines, when trading volumes have dried up and the incentive to prop it up is gone. Bitcoin has only just reached its marginal cost of production. The dynamics of Bitcoin are probably different (it doesn't take years to shut down or spin up a mine), but when they enter bear cycles, many commodities will trade below the marginal cost of production for years. The marginal cost of production itself could also fall if energy prices decline from here.
- adam_arthur 4y agoThere's no way to quantify numerically a fair value for bitcoin like you can with equities. So yes, no fundamental/mathematical reasoning for why it should be 10k vs 20k vs 0. You can assume there will always be some level of interest, so 0 is probably impossible, but can trend towards it.
- davidgerard 4y agoMy favourite example is that authentic Zimbabwe $100 trillion notes go for >$100 these days on eBay. And I say "authentic," because there's enough of a market that there are forgeries in circulation. (Reproductions are much cheaper, $5-$10.)
- srfilipek 4y agoWell, theoretically the value of Bitcoin would be a function of energy costs and mining difficulty, but that hasn’t happened in practice, and would still be volatile anyway.
- thebigspacefuck 4y agoDoes this mean I can buy a graphics card now?
- DizzyDoo 4y agoGPU prices have been dropping steadily since January[0], which is nice to see. Still plenty of demand, but I hope my poor GeForce 960 can hang in there another 6 months before I have to upgrade. [0] - https://www.tomshardware.com/news/gpu-pricing-index https://www.tomshardware.com/news/gpu-pricing-index
- alangibson 4y agoYou can buy my Nvidia stock that's tanking due to decreased mining demand
- diegoperini 4y agoEconomics noob here. Shouldn't very high inflation in US on goods priced with USD + rising global food prices actually bump up the price of BTC? I thought BTC has zero inflation baked in the algorithm, so it should actually move the opposite direction against any currency that experience high inflation right now. I want to be educated.
- eunos 4y agoLikely explanation is that money used to buy Bitcoin came from the JPow's free money reflected from the 0 rate. When that stopped so does the Bitcoin purchasing.
- jjeaff 4y agoThe rules are different when you are talking about a purely speculative instrument with near zero utility like Bitcoin.
- throw0101a 4y ago> Shouldn't very high inflation in US on goods priced with USD + rising global food costs actually bump up the price of BTC? Turns out 'commodities' (to use the term loosely) are worth whatever people think they are worth, and that includes 'currencies' (loose term) like Bitcoin. There is no "inherent" value to anything, only the value we humans put on them. Strictly speaking, the only things that are probably "inherently" valuable to humans are: air/oxygen, shelter, water, food. Everything else is a psychological 'trick' we play on our selves to allow for functional socities.
- unicornmama 4y agoSee my thread above. Real money was borrowed with crypto as collatoral - this is unwinding.
- kareemsabri 4y agoThe price of BTC is based on the bid-ask spread on BTC exchanges, which will move up and down based on the ratio of buyers to sellers. More buyers, the price goes up. More sellers, the price goes down. This is an oversimplification but good enough for these purposes. So in order for the price to go up when inflation goes up, we would need more people to want to buy BTC in response to inflation. This does not appear to be the case, for a number of reasons. One reason is, when prices rise people spend more (even if they don't adjust what they buy, which they often do) so they will have less money available to buy BTC, even if they wanted to. Another reason is, the economic and financial systems (including crypto) are interconnected, so disruptions in one can cause actions in another. For example, if stocks go down 70% maybe I'll sell some BTC to buy some cheap stocks. Or maybe I'll get spooked and just stop buying anything. There's more but that's my read on it.
- formvoltron 4y agohappening in 5 minutes means that bitcoin whales are still a bunch of market noobs. On the stock market when a whale wants to get out of a position, they eke out of it slowly, using an algorithm to sell 13 out of 20 bumps up.
- tgtweak 4y agoYou don't have a choice when you trigger an automated liquidation due to leverage position. If you had $1M on loan (to pump some shitcoins of course), and your collateral is $2M of bitcoin at $40,000 - and the coin drops to $20,000, the system will automatically liquidate the bitcoin to cover the position. This, combined with automated stop losses and people getting out by selling (whale outs) leads to huge dives like this.
- IAmGraydon 4y agoI don't know. If this was a margin call, doing it so quickly and at a time of relatively low liquidity (2:30 AM on Saturday) exposes them to a lot of risk. I mean they dropped the market over 6% instantly and as much as 8% once the market reacted. That's a great way to lose your capital. I guess it's possible, but extremely sloppy if it is a margin call.
- bannedbybros 4y ago
- crorella 4y agoWhat it means? It means people realized there is no inherent value in a tech the tries to solve already solved problems in am extremely inefficient way.
- api 4y ago... and isn't what it says it is. It's not decentralized. It's not free or self-sovereign. It's not honest money. It's not a store of value or an inflation hedge. It's also not free of nation state influence. Any nation state that wanted to invest the money could 51% attack or more likely sabotage these systems in a more covert way. Nasty dictatorships like North Korea or Putinistan constantly scam and hack the cryptocurrency ecosystem to siphon off money to fund their regimes. Any state could place regulations in the way of the actual use of cryptocurrency and kill it even if the tech worked fine. It might have been some of those things when it was small. Since then scaling problems inherent in this first generation of the tech led to all forms of hidden centralization, industrial economies of scale led to mining cartels, and perverse economic incentives (some built into the crypto system) led to it being dominated by scams, gambling, and pyramid schemes. Its goals were not necessarily bad. It just failed to achieve them. Edit: social media also failed to achieve many of its goals, becoming instead a cesspool of bullshit and a dragnet for surveillance. I think there's a lesson in here about how totally unique unknown unknown problems tend to manifest in interactive information systems at enormous scale. Systems behave very differently when you scale them out to millions, hundreds of millions, or billions of participants or nodes than they do at toy or early adopter scale. It's not just decentralized systems that are bitten by this. Centralized media are bitten too, just in different ways by different sorts of problems.
- cplusplusfellow 4y ago> Nasty dictatorships like North Korea or Putinistan constantly scam and hack the cryptocurrency ecosystem to siphon off money to fund their regimes. Do you have any evidence of which chains this happened to?
- fsiefken 4y ago
- kevinak 4y agoEvery cycle brings in more “true” bitcoiners that will DCA and buy BTC at any price. It will go up again. Just a matter of time. A bit tired of these “Bitcoin is dead” articles. They almost never adds anything to the discussion.
- alangibson 4y agoIf you look closer you'll see that most HN commenters across all crypto threads are dancing in the grave if DeFi (aka illegal penny stocks), Tether, etc. Most people on HN accept that there is some use for some cryotocurrencies.
- dubswithus 4y ago> Most people on HN accept that there is some use for some cryotocurrencies. I would say the opposite. It's rare to see anything positive or even neutral.
- krapp 4y agoTo be fair, facilitating scams and organized crime are still technically uses...
- SamBam 4y ago> Most people on HN accept that there is some use for some cryotocurrencies. I expect that's a false-consensus bias. But without some kind of survey we can't be sure.
- dragontamer 4y agoThis last cycle was supported by literal celebrities and a legion of Super Bowl commercials. There's no one else to "grow" the audience anymore. Cryptocoins are 100% within the mainstream consciousness. There are now three kinds of people out there: 1. People who know about Cryptocoins and never trusted them. (They saw the superbowl commercials and decided it was stupid). 2. People who bought in within the last 2 years (because of the big advertising spree) and only know what a 60% loss on their assets feels like. 3. People who bought in _before_ the last 2 years, a very, very small minority of people. #3 is not enough to return BTC to $60,000+ heights. And with #1 and #2 distrusting the coin now, I dare say its over. Type #4: "ignorant" people who haven't heard of BTC yet, are completely non-existent now. Superbowl commercials, Cable News, Facebook ads, and more have ensured that everyone has heard of this by now.
- 0xB31B1B 4y agoA huge crash in crypto prices is a great thing for people working on regular old startup/Saas cash flow businesses. A lot of potential investment and a modest amount of talent has been siphoned out of the real productive economy into the crypto ponzi zone. I for one am excited that I will never need to think about some BS "tokenomics" story for my startup to sell to some investor and I am looking for a return to VCs that invest in businesses with solid growth, unit economics, and cashflow.
- LBJsPNS 4y ago"I am looking for a return to VCs that invest in businesses with solid growth, unit economics, and cashflow." I'd like a pony while you're at it.
- scarface74 4y agoYes because startups outside of crypto have had profitable business models for the last decade. Most of the non crypto companies were not profitable when they IPOd the last few years and many still are barely profitable.
- DeathArrow 4y ago>Bitcoin drops below $20,000, Ether cracks $1,000 — what this means For me it means that I can finally buy a GPU at a reasonable price.
- DennisP 4y agoThat's probably also because Ethereum is likely to stop using GPUs by October, so any miner paying attention isn't buying new hardware.
- Macha 4y agoIt's been right around the corner for 2 years now. I have little faith in that date, but the actual real crypto market crash has at least contributed to the fact that GPU prices are back at normality.
- DennisP 4y agoI don't deny that the market crash is a factor. Regarding the merge, unlike two years ago: - The proof-of-stake chain has been running for a year and a half. - They've tested every combination of five execution clients and five staking clients, and they all work. - They just migrated a large long-running public test network to pure proof-of-stake, and it went well enough to have been considered very successful if it had been the production network. - There are two public test networks left, and if those go well too, there's nothing left to do besides the production migration.
- untangle 4y ago> there's nothing left to do besides the production migration. And this is considered easy/low-risk? It seems like the most frightening part, although perhaps less frightening as the crash continues.
- DennisP 4y agoThe point of merging a public testnet is that it's a dry run for the entire ecosystem. Lots of entities use the testnets, from individuals to applications to exchanges. If they can pull off successful merges on testnets, they can probably do it on prod. And while this is the most complex upgrade so far, Ethereum has done a lot of other upgrades since launch. At some point, you have to accept that you've done all you can, and ship.
- ChildOfChaos 4y agoIntreasting, I don't really understand crypto but i've been a little interested in it as I've started to invest in index funds. But damn that is a huge drop, good time to buy? Or is this really going to now be a hard time for crypto? I think bitcoin is just too confusing to be mainstream and i don't see much need for it.
- djbusby 4y agoGood time to load up on more low-fee index funds.
- tgtweak 4y agoIf you've been around bitcoin during all the other rallies and corresponding "crashes" and "bubble bursts" one thing rings true: It usually crashes to just below previous all-time-high to some extent, usually 15% below (ie: previous ATH $4000, ATH $22,000 in 2019, then retracted back to $3500 before climbing to latest ATH of $64,000. Some call it "crypto winter", it usually lasts for a good amount of time before gaining traction again and climbing past - usually after everyone has sold out and declared it dead, and media and the general public largely forget about it and stop talking about it for a year or two until it comes back into the news cycle as it picks up. I would say it's not guaranteed to repeat exactly - but for reference $18,600 would be that point. It could go lower, due to other market factors (recession, defi time bombs, stablecoin insolvency, etc) but it seems to follow this path.
- Barrera 4y agoFor the first several years of its existence, the bitcoin exchange rate was completely decoupled from the broader economy. It went up and down seemingly with no relationship to other markets. This attracted a lot of investors who were looking for an asset that didn't move in the same direction as everything else. In late 2020, the bitcoin exchange rate began a meteoric rise. One hypothesis was that this steep rise was foreshadowing massive inflation ahead. It was, of course lambasted as ridiculous. Inflation was dead and everyone knew it. Fast forward to 2022 and an inflationary spike is bearing down on the economy with its jaws wide open. It has taken central bankers everywhere by complete surprise. Now the bitcoin exchange rate is collapsing. The article's take on "what this means" is something along the lines of a fool and his money are soon parted. What the article never considers is the possibility that this collapse in exchange rate is the canary in the coalmine signaling that inflation is about to fall off a cliff. Money is being destroyed at rate that central bankers can't even fathom, at the same time they're raising short term interest rates and starting QT. This would have very ominous implications for the world economy if true. The financial collapse starts with Bitcoin because it's the most highly-levered and least regulated market. It now feels the brunt of the global monetary ebb and flow first. Only time will tell how accurate this interpretation is. But if it's true, there will be far more important things to worry about than the schadenfreude of scammers getting their comeuppance.
- DeathArrow 4y agoI hope you are wrong.
- Barrera 4y agoMe too.
- abrichr 4y ago> But if it's true, there will be far more important things to worry about than the schadenfreude of scammers getting their comeuppance. Thanks for the analysis. Could you please elaborate on this last point?
- derefr 4y agoI'm the CTO of a blockchain data analytics company. (I don't like appeals-to-authority, but I think it's necessary context for what I'm about to say.) I feel like I'm almost alone in seeing no real purpose in the existence of cryptocurrencies per se; but nevertheless believing that there's value in the technology ecosystem of crypto/DeFi (e.g. in smart contracts as a substrate for security tokens; in NFTs as legal deeds; etc.) entirely independent of the existence of cryptocurrencies. If Bitcoin and other "just a currency" ledger-platforms ceased to exist overnight; and the value of Ether and other "distributed-computer eStamp" currencies went to near-zero; and only stablecoins backed by governments continued to exist as representations of "stored value" on these platforms — these distributed-computer platforms would still be useful substrates for fin-tech innovation. They'd just be free of speculation + Ponzi schemes.
- dubswithus 4y ago> value in the technology ecosystem of crypto/DeFi (e.g. in smart contracts as a substrate for security tokens; in NFTs as legal deeds; etc.) Security tokens would need to follow the same securities laws as centralized solutions but I can see an advantage in having liquid shares. Price discovery would be pretty powerful. Although the founders might not like what happens to their valuation.
- Sargos 4y ago> Security tokens would need to follow the same securities laws as centralized solutions Which securities laws? I'm imagining you are talking about the US as this site is very Silicon Valley centric but not every company is based in the US and there are over a hundred different jurisdictions in the world. US laws aren't the end all be all and the way things are going they might be even less relevant in the future. We are living in an incredibly global society and there is currently no global governance layer that covers global public goods and digital-only projects. We'll likely develop something in the future but today there are entrepreneurs creating applications and projects at the species level that have no defined state owner and it wouldn't make sense to assign them one.
- 4y ago
- deleted 4y ago[deleted]
- outside1234 4y agoGood riddance (Also: still massively overpriced)
- osigurdson 4y agoThe fact that BTC ever reached $20K in the first place is crazy to me. Of course, BTC at $0 or $1M in 50 years seem like equiprobable outcomes.
- jeffbee 4y agoThe interesting thing here which nobody seems to be discussing is the btc price fell by > 5% in one instant, not over the course of a day or even an hour. What kind of massive trade caused it?
- SnowProblem 4y agoA lot of people are getting burned right now from the big lie, the one that enables the rest. Read the original Bitcoin whitepaper folks, as well as the early Satoshi posts. Bitcoin was designed for "small casual payments" on the web, and it used to function for that. No longer. You needed low fees and big blocks. People invest in BTC now thinking it still has these properties, but BTC has not been Bitcoin since 2017. Then they propped up Lightning network to hide the failing narratives, but anyone who reads the LN whitepaper would see it would never work. I'm not angry about it anymore. It's just a damn shame and people are getting hurt.
- singularity2001 4y agoSo far it doesn't mean much. The last big 'crash' was from 20k to 4k. Now we are down from $60k to $20k. However once the Tether scam collapses we _may_ see the real crash of crypto. Think BC going below $1000 or to $0. Could happen in 5 years, anytime, or never.
- LightG 4y agoWhat it means is I should back myself more. About 5 months ago I was banging on about the actual trend suggesting a price of $15 and wad laughed at by the lazer eyed cult. Either it will hit that level, and the speculative fever will have subsided enough for it to be a stable gold alternative, upon which new layers will have the chance to be built. Or it will go to de facto $0
- DeathArrow 4y agoIf the price goes below the mining price bitcoin is dead. And that point is close, I think.
- Bud 4y agoThat has already happened. Numerous times. Including right now. That doesn't automatically mean it's dead. If it did, well, it'd be dead already. :)
- scotty79 4y agoIt means that it will be still possible to get over 1000% return troth to peek on something as boring and mundane as bitcoin.
- DonHopkins 4y ago"It’s a huge Rube Goldberg machine slapstick custard pie clown car, where each custard pie triggers three more custard pies. A clown’s tie pops up, causing three other clowns’ ties to pop up. Several tons of organic cow manure fall from above. The clowns stick their heads up out of the poop, proclaiming how clean they are and what a mess everyone else is." https://www.youtube.com/watch?v=bbY8M9Jg2as https://www.youtube.com/watch?v=bbY8M9Jg2as
- EVa5I7bHFq9mnYK 4y agoYeah, Bitcoin got ahead of itself a little bit. I thought it's going to $10k when I bought it in 2011, still think so today. But keep in mind, blockchain, unlike a company, is eternal.