Bitcoin Forum

IS this because of china, or mtgox's mess up?

It's not about us , BTC in BTCC is still higher than Gox.
 

Read the news, baidu not accepting BTC anymore...

This is because China bans banks from bitcoin transactions and the government itself banned financial institutions from trading in bitcoin. Many chinese investors are now panicking and expect a massive sell-off of bitcoins.

n00bs buying fiat

Reason for drop explained at the following linked thread:

Caps lock is causing Bitcoin to crash. Please stop it!

PLEASE DON'T STOP IT, SO STRONG HANDS CAN BUY FROM PANIC'ED FOOLS WHO DON'T STUDY THE REASONS WHY THE CHINA NEWS IS BULLISH.

just another day in bitcoin. it's very volatile and will continue to be while it's still such a small market.

to answer the question, some of the negative press coming out of China is probably affecting peoples opionon on bitcoin. And of course once a few people start selling, the avalanche takes place...again small market.

Did you ask the question, "whats causing the Bitcoin to rise so far", so fast last week?  Answers the same, speculation.  

People want to say China, but the Chinese could buy Bitcoins one month ago when the price closed ~BTC280.  Unless you think something happen in the past month to the Bitcoin fundementals or wider economy to cause flight to Bitcoin, you have to conclude you are on a speculation roller coaster.  enjoy it.

the same thing that causes every crash: people panicking due to what is perceived as bad news. there is a lot to learn from every rally and crash.. it seems like a lot of people were expecting it to crash, which is an indicator of the lack of confidence that $1,000 would be steady.

the China news maybe was a catalyst, but the bubble was bound to pop. a look at the charts/moving averages showed a clear loss of momentum.

Because whales who bought in at 600-700 doubled their money at 1200 and are cashing in.

too much bad news, rise was too fast to $1200, whales profit taking and panic selling

People selling bitcoins is causing bitcoin to crash.

A whale threw down 5,000 coins, causing a GoxLoop ™ and in the intermission of the beginning panic when it righted itself the same whale (conjecture) tossed another 5000 coins down immediately.  It worked great for the whale as if you look at the volume it looks like he re-entered below 650 and exited about 850... people can be sheep.. its going to go back up, no worries.

Can't help but having the same sentiment...

I'd still go so far as to say, as long as moral is low, said whale can (and seemingly is) try again.  A nice round 100 coins has been thrown into the asks almost exacty every 10 minutes for the past hour.  I'm sure there will be some slight panic because people are shaken right now, for no reason at all.  Its also worth noting that the volume we have had over this whole drop is still less than the volume dumped from 800-500 a couple weeks ago, a good sign that up is the direction.  "They" were able to lower the price >50% with less volume and in the meantime, its still a whole lot easier to go uphill on this coaster than down (available coins on the order book only starts getting stacked when said whale pads the books, then mysteriously 5000-10000 coins disappear and a big buy goes in to recover those selling less than current market.  Its a system that is taking advantage of peoples poor judgement and greed, patience can be very rewarding.

China news was ideal catalyst for big player to make crash and make panic selling. It worked and big player buying at lower price.

What is encouraging to me is that the popping of the "bubble" in April and now today (so far) the price didn't crash all the way down. That tells me we have some strong investors that are confident in the product.

In April the Blockchain split (lots of people somehow fail to mention this) and Gox had 8 hours of lag that people were trading on.  The price will not take that drastic drop this time.