Bitcoin Forum

https://twitter.com/cnLedger/status/821716566060343301

Preliminary inspection on OKCoin and Huobi showed that these platforms provided margin trading which violated rules, resulting in abnormal price fluctuations in the market.  During the inspection it has also been discovered that these platforms had not established sound anti-money laundry system according to regulations.

this is bad news.

is this the reason of this big dump?

au contraire. the current way chinese trading is set up is a cancer on the rest of the bitcoin market. the sooner it's wiped off the face of the earth the better. there'll be short term pain but it's for the greater good in the long run.

I agree and ive been telling some people the same thing.

I read this article that believed China is testing their influence on bitcoin, thats seems likely and now they know a little bad news can go a long way.  People inside could decide on day they want to make a few million prepare some shocking news buy up coins and then scale back operations.

Anyway confidence before this finding was weak but they started dismissing the last batch of news and bulls came in.  Now the bulls are scrambling to the exchanges to buy up the coins, eventually they will become exhausted and a bear market will kick in.

Actual today proved that pboc news has less of an effect the more they fud. The price may have dipped slightly after there news today but is quickly recovering as people ignore there bullshit.

It could be speculators using this as an excuse to dump.

My feeling is that bitcoin will trade in the $800 to $900 range for some time, and that will be a good thing, it will establish a new norm.

what dump? you people seem to forget what price has been before the so called dump. it was $810ish and now it is $870 dump is if price went from $810 to $600 that is called dump but when (like what happened yesterday) price rises first and comes back down a little it is called correction and over all rise.

Price was $901 prior to the dump.  

On Bitfinex it fell 6% to $848 before the rebound.

Actually better to say this is already known thing, chinese exchange platform are behind price and trading volume manipulation.

I think we will see some correction but not in the level like 20-30% before, but after that price may grow in more healthy way.

I agree, 10-20X leverage and zero fees produced 95% of the fake volume coming from China.
This is being normalized, so I see it as good news long term.

The Chinese trading volumes are still extremely high. See

https://coinmarketcap.com/exchanges/volume/24-hour/all/

The only fee exchange in the top 10 is Bitfinex with $28million of volume in the last 24 hours. Compared to okcoin at $633 million volume. So it looks like the bots are still trading back and forth creating volume on the no-fee exchanges.

all i am saying is that there is no need to be so dramatic about the fall, because it started from $800 and now it is at 870 (or even at your bottom it was still $43 above the price it started from.

it is a correction
https://i.imgur.com/IxMliem.jpg

they will probably work to reduce this nonsense and it will be good for everybody, except few high speed traders in China.

Good thing is people somehow develop immunity to this nonsense News of Chinese Authority FUD.  I do believe Government of China is accumulating Bitcoin in their advantage.  Releasing a bad press during uptrending price by an authority probably a strategy to accumulate cheaper price and presses on the good news next for possible dump of the accumulated Bitcoin during the dip.

It takes a few days for the effects to fully kick in.

the last dump from the high went down in various stages and not on the same day.

on the other hand this news may mean very little to people, all they said is they found people breaking the law but did not say they are imposing new restrictions besides what has already been released about leverage.

It's so damn stupid that everytime the chinese authorities say "it's ok but caution with the volatility" they create the god damn volatility themselves. It's clear they are profiting from this, they throw the stupid caution message and buy for cheap.

Let's just hope that dumb ass panic sellers stop falling for it.

the news alone, yeah sure, nobody pays any attention to that but when the news comes with FUD and then the whales start manipulating and sell a bit to break some resistances, that is when newbies panic and are flushed out of the market when they start selling into the whales buy orders.
if we can get the newbies out and get more better traders in, prices won't swing this much and whales start to lose money because their low bids are never filled because others put better bids above theirs and their evil plan fails ;D