It has been 10 years since the 2008 financial crisis and there are a number of financial experts out there predicting doom and gloom to hit the financial world this year. To be fair, every new year brings new crazy predictions, so, although I am not reading too much into it, It did get me thinking - how would bitcoin hold up during a financial crisis.
We know gold is able to withstand a crisis, but with the price of gold very much being controlled nowadays, it might not be a good idea to use them as a comparison.
Interested to know peoples thoughts on the matter, what do you think would happen to bitcoin during a financial crisis?
The fact is so far we have not witnessed something like this in the life time of bitcoin, its going be hard to decide the exact way bitcoin will react to such scenario compared to the free fall of fiat that have happened in such situations and scenarios. For me, I think the way every thing works well be the reaction of people and I feel its going to affect bitcoin. Today, we have seen some fall in price and you see people dumping here and there, in situation that is even isolated to the crypto currency. I then wonder what will happen if the whole world economy is in turmoil, I see a lot of people following the same pattern after all. At the same time, I see a lot of new millionaires being made after the whole crisis because at some point the crisis will be over and people who are smart would either become rich, richer or maintain their riches. |
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by David Drake
In 2017, Bitcoin recorded the most unprecedented gains, making it the most sought after cryptocurrency in the market. As a result, most people are buying Bitcoin for speculative purposes with the hope of cashing on price increases.
Having risen to a high of nearly $20,000 in mid December, Bitcoin experienced high volatility towards the end of 2017, raising the question of whether its price could plunge to below $10,000. But as HOQU's Co-Founder and CEO, Alex Shmonov notes, high volatility is nothing new to Bitcoin.
"The price of Bitcoin has always been very volatile even on fake news as many people buy this asset for the sake of speculation and profit. The reality is that the entire crypto market can flop by 90% and this will be normal. We saw this with Bitcoin before. But after some time and after the dust has settled, prices will return to new heights, because progress will go further and people will understand that the problems that caused the drop are resolved or almost solved," he says.
Even so, certain factors fuel the volatility of Bitcoin, and one such factor is government statements on cryptocurrency regulation. On Thursday 28th of December, 2017, Bitcoin prices plunged by the double digits following the announcement of fresh regulations in the world's third largest cryptocurrency market, South Korea. Going by the trend set by this southern peninsula, there’s no doubt that more price swings in the cryptocurrency market will follow.
"The volatility in the price action mirrors the uncertainty in world regulation. Each positive statement from a country or exchange sees a boost in the Bitcoin price, and each proposed clampdown produces a price drop. Changes in regulation is the key price driver for Bitcoin and that won’t change in 2018. I think price volatility will increase this year, this will not be a time for the faint hearted. Reduce your exposure to price volatility by diversifying a little of your portfolio - now," says Linda Leaney, CFO at Globcoin.
According to Marcus Vandea, CEO of Playfold, Bitcoin has a highly volatile nature. But even with its price swings, it’ll be hard for its value to drop below the $10,000 mark.
"High volatility will always be an intrinsic part of Bitcoin, with 30% shifts that always happened but are now more noticeable because of its high value. It’s difficult to believe that Bitcoin will plunge below $10000, as it is now more popular and desired than ever. But extreme value swings will keep happening and will keep discouraging the light hearted investors," he says.
Bitcoin braved the turbulence in 2017, increasing its value from $1000 in January to reach a high of $19,700 in early December, before closing the year at about $14,000.
2017 is a major year and its something that would stand as a reference point for years to come and its because of the significant increase that happen to bitcoin and crypto currency despite the series of challenges that it faced in that year. From high fees, to fork issues, to network overload and series of onslaught from the media but it came out triumph. However, the past is only for reference purpose and for 2018, I expect volatility but nothing compared to 2017 and its because of the following 1. The knowledge of bitcoin has circulated among a large percentage of the elite while a lot of them have taken their decision already much less are still indecisive about whether to get in or not. Unless new circle of the population is being penetrated, we might not see such high volatility like 2017. 2. The forks, in 2017, was a year the forks that happened contributed in no small way to the increment in the price of bitcoin but in 2018, we have lost count and even the ones lined up to happen in January, I dont know and this is happening to several others for us to change our decision based on forks. .3. Regulations is 2018 is taking a more aggressive turn with banks turning back deposit, with exchange sites asking for extreme documents for KYCs, government stance being more pronounced, the penetration is being curtailed. In all with all these challenges, I hope to see a stronger bitcoin with more basis to grow on by the end of 2018. |
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I like your analysis because its something one could easily relate to but at some point, I got confused which is at the point when it got to the situation where Mr B had to continue to gather more debt in other to live at least for the basic things of life while the other man gets richer meaning that he does not spend his own money. But looking at the origin of exchange, it was not about money it was about goods and for Mr B to have bought something from Mr A, it then means Mr A has some value which he must have spent his own dollar to Mr B to acquire which means in my own analysis, they are both owing each other but as times goes on, and other factors sets in, one begins to owe more than the other.
This is what we see today that United States is owing China, while China is owing the United States and when we then total the world debt, we then ask who are we going to pay it to, of course not some people in Mars or Jupiter but ourselves which is why I wont totally agree to your school of thought on that part.
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According to this article: https://www.investopedia.com/articles/stocks/10/5-steps-of-a-bubble.asp, there are 5 steps going to a bubble: 1. Displacement 2. Boom 3. Euphoria 4. Proffit taking 5. Panic I think we are in step no. 2 Boom, as the global MCAP is not even in the trillions. Also, the mainstream adoption is still in its infancy (1% or so), but the idea is that we need to stay alert about the first signs of a bubble burst. In which step do you think that we are in now? What do you think that those first signs will it be? What contingency plan would you implement? Thanks The mystery about all these steps is that, no one knows the time. A lot of those steps that have been itemised over the years actually came into play after the event has happened and that does not solve any problem or avoid any. Concerning bitcoin, its hard to state this is the time we are exaclty because depending on how one looked at it. In the past couple of years when the price of bitcoin jumped from some cents to some amount of dollars, a lot of people would have said its a time of boom and we are moving to the next stage but the issue is it seems we have not left the boom stage because from the few dollars, we went to few hundreds of dollars to few thousands and now in the fifteen thousand region. For me, I would still say we in the growing region because the penetration has not gotten to the point where people would know about it that the fall will affect almost every family ( the crash of 2008 comes to mind), and because the potential is still there. When we are able to live that region, we can then talk about boom and every other stages that follows. |
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howdi everyone I wanted to introduce you to a new tool I made http://www.coinliker.com/ you can see real-time data for your crypto, discover new crypto woth investing into and also add your stock count which will give you a good idea of your portfolio valuation http://www.coinliker.com/cryptocurrency/bitcoin-cJjN no need to register it remembers you.  I would appreciate any feedback many thanks. Tom This belong to the service announcement section of the forum. There you can get to touch the audience that would give the review that you wanted. All the same, the site is a good one and its worth the hard work but I have some suggestions that you can add to it: 1. The font on the size of those coins logo is too large and its you should do something about it. Because on visiting the site, it just look like a circus with several colors all over. You should try and reduce the size of the logo while the price of the coin should take some increase. 2. It would be much better if the order in which the coin are arranged on the site are clearly stated. I see coin ranked 191 and beside it another one is 101 while the one beside that is 169. The question is how are they arranged. Is it alphabetical or serially? This should be well itemized. 3. If it wont be too much stress, you can add the exchange in which these coins are currently being traded on the the page and from the link, one can go directly to the exchange site. I wish you all the best in making the crypto community better. |
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A well-known investor believes that Bitcoin will go upInvestor Peter Thiel has put all his money on BitcoinThe main financial press reports that its venture capital fund was purchased and owned a digital asset by increasing its profit by a thousand percent last year, which made the decentralized currency one of the company's most valuable investments More
"A well known investor" whether one is well known or unknown, anywhere you put your hard earned resources, the expectation is that it will increase. You want to invest in shares, your expectation is that the value will increase. You want to put your money into real estate, your expectation is that it generates income and when you decides to sell, it must have increased. You also decide to set up a business or a website just like a mixer the expectation is that when you decides to exit the market, the value of such website must have increased to make a fortune. I really don't understand why this is making news because he just said what is in the mind of everybody whether rich or poor and maybe because he is rich, that's why someone cares about what he says. Either way, its nothing special. |
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I don't know about the technicalities or how they are to hack the software with all the mnemonics attached. When I saw the flash message early in the day, I upgraded immediately and my wallet is already password protected. I hope everything is safe and everyone is able to stop panicking especially those who are not on the forum to read the warning and the progress that has been made. Electrum is one wallet that to a large extent has been able to create a niche for itself and I think vulnerability at this time will tarnish the over the years reputation.
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Hello,
38 hours ago I sent BTC from my Electrum wallet to Gatehub BTC address. I read many comments complaining about these problems Do not use Gatehub! they have terrible customer service and consistently take hours to send/receive funds Is Gatehub a scam? I have received 4 MISSING TRUSTLINE emails and none of them let me connect a trust line and fund my wallet. Meanwhile, you have my BTC deposit! Contact me with a solution please. Quick question: I recently initiated depositing to BTC wallet on GateHub from Coinbase 24 hours ago. However, the deposit cannot be processed due to trustline issues and inactive my wallet. Will my ripple wallet be funded automatically in this case? Do I just need to wait longer? Hello, I made a BTC deposit yesterday into my new Ripple wallet. And then activated afterwards with 20 XRP direct. However, my BTC deposited funds are still not showing. Its been 24hrs. See support request: 324467
Please advise? Im not getting a response from your support team And what irritates most in these situations is the slow or almost nonexistent support that these sites have. The clients are waiting for the support response for weeks to solve their problems Unfortunately that is what this service providers are fond and that is what I advised Op in last suggestion in my earlier posts because I am just sure he won't be the only one involved if the fault is from GateHub and just like I predicted its the same thing happening. A lot of times we are quick to reject any form of regulation in the crypto industry but a whole lot of people are making such arguments futile because a simple post of Twitter or a newsletter to their customers would have solved this issue. And now, there is no customer board, customer protection or even overseeing ministry that this can be reported to, the worst that would happen is not carrying out a transaction with them again but the deed had already been done and no one is held responsible for it. |
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There are some people who were waiting more than a week for the answer. But eventually they come back.
The solution for your problem is choosing more recent exchange where they don't have problem with too many clients
Just like the earlier poster has rightly suggested, more recent exchange sites might not be the solution because of the fact that they have not been sell tested and therefore cannot be fully trusted. I would have suggested the medium size exchange sites that have stand the test of time, but those ones too are gradually sliding into the episode of taking forever to answer tickets but for the fact that answers will come is enough to be sure that your fund is secure as that is the most worrying part as against when ticket will be answered. And most times too, the challenges being faced are due to impatience of not reading the FAQ or not following the procedures and the likes so the customer care representative on the other end would just ignore and attend to more pressing issues. |
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I activated ripple wallet about 34 hours ago (made a deposit of 100 RXP)
I also created a trustline for BTC and EUR (btc trustline was succesful,EUR trustline is in pending...)
But I am always waiting my BTC I sent 41 hours ago!
Gatehub give my my money!!!
Customer service does not work... they only reply with automatic reply.
They would be the ones in the best position to provide answers to.your query because for the fact that you have 245 confirmations means the btc has landed in the destination address. What I would suggest is to look at two things 1. Confirm whether the address generated from GateHub was where you sent the BTC to because as you have rightly said since yo sent ripple and all went fine, it could be the destination address that is having some issues. Confirm this and if its correct then go to step 2. 2. You need to be sure whether GateHub is not having issues with synchronising their blockchain because sometimes service providers might have maintenance issues and this won't allow your balance to show until when its all clear. 3. Finally, if any of the above did not work, then you are not the only one affected all you just need to do is locate like minded individuals to get a perfect understanding of what is really going on. |
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I have been working on a simple site where one can view available altcoin balance on any Bitcoin address. It only works for Bitcoin Gold and Cash right now but I intend to extend on that. I've also compiled a list of over 20 altcoins that gives some sort of dividends to Bitcoin owners, either via airdrops or chain forks. I hope it can be of some use: http://btcdiv.comI visited the site and I must admit, you have a great piece of work there and a great effort in keeping up to date with the numerous fork that we have out there that the possibility of not even knowing some are out already for that, I say much kudos to you and its something I have been looking for to take away the stress of having to search for their ANN thread to getting their official websites in case there is a need to download any software to claim the coin. I want to make some suggestions though 1. On checking the balance, every balance that will come back as zero should be coloured in red while those with balances should be in green with this, one can be sure to know what to focus on. 2. Is there a way that under the green part there is already a number of exchanges or wallets that have declared support or even have activated their wallets to claim such coin. With that, one can just go straight to the point without having to go too much stress. |
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As the cryptocurrency market continues to hit the mainstream media headlines, two of US’ financial regulators invited investors to stay cautious about the emerging market. The North American Securities Administrators Association (NASAA) survey showcased that 94% of state and provincial regulators thought there was a “high risk of fraud” in the cryptocurrency market. Full article https://www.tropyc.co/news/nasaa-sec-cryptocurrency-ico-warning-caution/What else could they have said? Nothing because they themselves are thrilled by the amount of reruns that could turn out in a short period of time so also how quick that investment could turn to cents due to volatility so instead of outrightly say it's bad based on their findings even though the survey in which they are relying upon suggests, they prefer to sit on the fence of not saying it's outrightly bad or good just that invest with caution. And I think its a conservative approach that we all have to know about by default in that "never put more than what you van afford to lose or won't make use of in a long period of time" just that they are supporting theirs with knowledge of facts and figures. |
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Its really a good thing that the mining companies are seeing the handwriting on the walls and are accurately predicting the likely thing that would happen inevitably because eventually, the Chinese government will still have to play the card of shutting down exchange sites by the time they realise increasing the cost of assessing electricity for mining purpose and the price of bitcoin is on the high side which was able to cover for the cost and still turn out profit, they won't be left with any option than to shut it down.
That being said, when Chinese government do this, it then shows that they are fully taking themselves away from the map of people that matter in the crypto industry which might be an haphazard decision because what they should have comparative advantage over, is now being shared with other countries such as the United States, Singapore, Iceland and a host of other countries.
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Below is the link I first provided, i believe it will answer the question you pose above. This link does not provide the list of exchange sites that answers Ops question its the same as the one on the problem with 2FA authentication. Maybe you check again to confirm. The link is really helpful though because I have read quite a lot of people having issues with 2FA authentication when they change devices but it would be more straight forward if it had been on step by step basis. My suggestion, since you are currently out of the US, why don't you find a way to convert in you current country because you never can tell, it might be more relaxed than the US then you convert to USD which you can use in the US pending the time you are able to resolve this issue. |
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There is nothing that does not have environmental impact at all. Today we talk about electric vehicles as against diesel and petrol powered vehicles because of the effect they have on the environment but little did we know that more power plants will need to be built with that also affecting the environment all we just adopted is a lesser way to affect the environment. On the issue of mining affecting the environment, I don't see that happening because if it had been, they would have added it to the list of reasons why bitcoin is the worst thing that happen to the society. It uses electricity and electricity is key to the human existence what I see government going is people charging more on electricity and with the continued technological advancement in sourcing energy, we are good. |
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Imagine This...
A political movement/party that permanently backs bitcoin/crypto currencies, that is financed by bitcoin/crypto currency donations, that spreads globally.
SPREAD THIS MESSAGE Facebook Twitter Linkedin.
Make this simple message go viral.
The main purpose of any political party is to win an election and for you to register a political party it means you have to comply to certain rules and regulations of the electoral body because they are the ones that would decide in their own wisdom whether you are fit to register or not. Even though the constitution guarantee Freedom of Association, this right is not absolute because you also have to disclose your source of funding which in this case bitcoin, the same bitcoin that the government of the day is trying as much as possible to stop its influence with the valid negativity that surrounds its existence, I doubt if the registration will fall through. On the other hand, rather than facing such complexity political system, why don't we go the route of forming a lobby group that would be financed with crypto and ensure that laws and policies are directed to favor bitcoin with that, we can the move up from there. |
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Prepaid bitcoin card holders (issued by WaveCrest, a Gibraltar company) had received a letter today with a short notice that VISA had shut down the bitcoin related prepaid cards. This means that a lot of bitcoin card providers (included XAPO, etc...) are without a card issuer now. Some hours later XAPO also wrote a letter to all XAPO debit card holders that the debit cards are cancelled by VISA, without prior notice. They promised that they will look for a replacement solution to issue cards for them and were asking for a little patience from the XAPO wallet holders. I saw on reddit that people are blaming VISA for the situation, it's like the company is trying to close the connections between bitcoin and fiat, in order to preserve it's position on the market. We will need LN and compatible mobile wallets really soon.
There is nothing about no prior notice about this. The only part of no prior notice is if it relates to EU citizens because aside that, there is enough notice all over and I have read some months back that they will give 3 months notice for every one who is outside the EU to use up his or her funds but not cancelling everything. If this is affecting the entire crypto community, then its a step backwards and it means the people who are bent on frustrating bitcoin use are leaving no stone unturned and that is why they are really harnessing every opportunity with this being another step in the series of acts that can be done. It is actually a clarion call as well to developers to start thinking in this direction Visa or MasterCard were created by individuals and there is nothing wrong in creating something like this for the community. |
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Bitcoin is currently hard-capped and can't gain value. When backlog reaches around 250,000 and fees rise to $50 the price crashes due to a pullback. You can only lose right now with Bitcoin. The problem is at the core, it has a bad governance model. Miners cannot be trusted to implement BTCs best interest. In 2018, BTC will lose its top spot.
You probably have some legit arguments there but not answering what Op is asking. With all these legit points you have it does not still stop bitcoin from reaching the $20000 mark if not because of anything but for the fact that a peak of 19k was reached the last time, is a potential that the $20000 can equally be reached and broken as well. But that does not mean all these factors will not come to play or bitcoin will not lose his top spot, or even that bitcoin might cease to exist, it just mean that $20000 is achievable. |
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You cant fight it. Just try to profit from it.
I might as well buy any coin under a dollar without doing any research at this point. The only conclusion on this talks about cheap coins that makes it seems like the right way to go, is that just in my earlier posts, majority of people are buying not because they love the project but because of the pump and dump involved and more so the amount of money involved is something they can quickly let go without affecting their wallet one but but little did they know that that little loss of yours multiplied by the number of people making such ignorance decisions across the world makes some developer at the back of his computer, a young millionaire. For those of us who have felt the brunt of all this coins here and there we know better than to just add to the wealth of some dude far away in the other part of the world. Just like the earlier poser said, you can't beat it, try to profit from it. If not, learn your lesson and move on. |
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If so, what is preventing BTC developers from watching how well the BCC fork plays out and, if it has no bugs or issues, adopting an 8MB block for itself and supplanting the BCC advantage?
When I looked at the comparison of both even on several other forked coins website, the only thing that made sense to me is the 8mb while bitcoin having 1mb others are technical jargons to me. And this made me even felt that there is no much difference in the two because as we have the 1mb of bitcoin getting filled up which led to the challenges being witnessed everywhere, sooner or later, the 8mb would equally be filled up all that it could take a longer years than bitcoin and we are all back to where we all started. What I expect is that rather than every circle of developers going about creating their own forks and claiming its the best bitcoin or the real bitcoin, the vision bitcoin and all sorts of nomenclature, all efforts should be contested at making it better just like what you suggested or if that is not possible, projects such as SegWit or the recent lightning network should have been way back implemented. |
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