I would not concern yourself too much with the recent bitcoin downside prices this is just the reflection of the price in given a momet in time. Price can go all directions from todays price. There are however some things you need to bear in mind:
First of all when you started investing into bitcoin, you should have asked yourself why am I getting into this ? In most cases, people invest in bitcoin because they heard of its success and want to earn money, believe that it could be a revolutionary idea or are anarchists who don't trust the entire economic system and have certain intentions with it. You should first think why you got into bitcoin.
Personally I heard from it from a friend, who told me about it in September 2014. I read about it and it seemed a good idea to me to invest a small portion of my capital in bitcoin because I would like to leverage my money and earn on the volatility of bitcoin.
Many claim that this ruins bitcoin by itself, but those people are ignorant in my eyes because speculation and exploitation are all part of the game. Moving on to the next question you should ask yourself.
If you decided why you want to get into bitcoin you have to risk money. Money management is very important and people should keep this important topic in mind and never forget it ! What money can you lose without feeling so bad about that you won't sleep anymore? You have to understand that however some people are claiming bitcoin will go to zero this month, there are also people who tell you it will go to the moon this month. Opinions varie, have your own opinion ! Decide what budget if your capital you wish to invest in it and then do it accordingly to the ' fundamental reason you joined in'.
Then you should look at timing. Current prices look like an opportunity to me. The markets have boomed and busted and the pessimisme of the people is slowly shifting towards a more positive outlook on bitcoin. One who is new to bitcoin and one who doesn't get on top of all the topics may not see this, but I personally do. So I'd say this price is a buy moment. YES, prices may go below the 400 support barrier which was already breached yesterday and a lower support around the 300-350 zone may be hold before bitcoin stabilizes and heads up. No one can tell you this, you can counter this and create an edge and wager your chances, but you can never tell with certainty !
In my eyes the chances for bitcoin to drop a lot lower are very small, even with the recent China ban being announced. Nonetheless it can and may happen. The moment of buying in depends on the time you can put into timing your buy ins. If you have to go to work and cannot read up on bitcoin a lot I recommend buying in at this price for 50% of your initial investment capital.
If I look at the big project running, like Secondmarket and other developments It seems to have a very small chance that bitcoin will drop a lot more on a longer term basis ( few months ). Many may disagree but this is my view on bitcoin. I don't believe it was a bubble and that it busted and will fail now, I think that yes it was a increase and people are cashing out + the aditional news also filters out all weak hands, but if you look at the fundamentals it still has a good chance in achieving.
Stay smart, weigh your odds and whenever the odds are in your favor you can take a calculated risk with the correct money management and it will pay off! Buy in at low prices like these and you won't regret it if you manage to mentally hold the money for a longer period of time. That's my 2 cents
