Kim DotCom: ‘China in Big Trouble. Buy Bitcoin Now’

[OmegaStarScream]

Internet industry magnate and financial markets prognosticator Kim DotCom says now is the time to buy bitcoin in light of the Chinese stock market meltdown and a worsening outlook for the global economy as a whole.

Big trouble in china

The Chinese financial markets have had a long, hard summer. Since June 12, domestic market bubbles have burst, forcing massive action to counter it by the People’s Bank of China, which is majority-owned by the Chinese Government.

Last month, when the primary Shanghai Index fell over 8%, the People's Bank of China devalued the renminbi by almost 2%. This level of market manipulation has previous been only reserved for the American market and now Kim DotCom is throwing gasoline into the fire, tweeting:



DotCom’s previous fortune telling has had mixed results. During the beginning of the “Grexit” crisis several weeks ago, he said the “markets will crash.” Since he used the word “markets,” implying more than one, which usually includes the New York Stock Exchange, he can at best get partial credit for the corresponding fall in China.

He also recommended buying gold at the time, though the price of the precious metal has not taken off either. This doesn’t mean it is not good advice, but no short-term results have been seen due to the “Grexit”.


Full article can be found right here : http://cointelegraph.com/news/115172/kim-dotcom-china-in-big-trouble-buy-bitcoin-now

So , whatever Kim says , let's buy and hold people

[RustyNomad]

Its not just China, the whole world is in a massive bubble.

Anybody been watching the US markets today? See the trip switches were hit due to the large drop resulting in trading being stopped to catch a breather.

Stocked markets were ripping seriously lower. FX markets were also on a rip in all directions with some currency pairs posting ranges almost triple the 'normal' daily ranges.

[maokoto]

I can´t see the connection between the China economy falling and buying Bitcoin. Does he means that many chinese will run to Bitcoin thus raising its price?

[RustyNomad]

I can´t see the connection between the China economy falling and buying Bitcoin. Does he means that many chinese will run to Bitcoin thus raising its price?

I think he's referring to the fact that large parts of the world is dependant on the Chinese markets. If China slows down it will have a direct effect on many of its large trade partners like Australia, New Zealand etc...

So trouble in China will have a knock-on effect to other countries, so its not just a 'China problem' but rather a world wide problem.

[Denker]

I can´t see the connection between the China economy falling and buying Bitcoin. Does he means that many chinese will run to Bitcoin thus raising its price?

I think what he means that there is not much left out there where you can invest in what would be worth it. For instance real estate is in a bubble as well. At least in my country. Precious metals although might be an option.

[Harry Hood]

I can´t see the connection between the China economy falling and buying Bitcoin. Does he means that many chinese will run to Bitcoin thus raising its price?

He means diversification is king. Of course this doesn't matter when every major market in the world AND Bitcoin are down at the same time...as we see today, but he has a great point.

I wonder why BTC is down this week (drastically from a month ago)...but it does represent a buying opportunity. Bitcoin and fiat markets shouldn't always be correlated, but if someone has evidence that I'm wrong...please share it or PM me!

[Hopalong]

I can´t see the connection between the China economy falling and buying Bitcoin. Does he means that many chinese will run to Bitcoin thus raising its price?

The connection is that every crisis is a good opportunity to hype bitcoin..

It is more likely that those who loose money on the stockmarket will move to safer investment and that does not involve a hyper volatile bitcoin.

[Meuh6879]

Crash.

I want a Crash.

The problem is that the Financial Exchange are all cheated : http://www.zerohedge.com/news/2015-08-24/how-much-lower-does-sp-have-drop-entire-market-be-shut-down

Based on S&P 500 close 1970.89 on Fri. and Level 1 circuit-breaker trigger of 7% drop, S&P 500 would need to drop to ~1833 to set it off, rules posted on NYSE website say.

    Level 1 halt at 7% drop; Level 2 at 13% (S&P 500 at 1715 based on Fri. close), Level 3 at 20% (S&P 500 ~1577)
    Level 1 or Level 2 drop between 9:30am-3:25pm ET would result in trading halt for 15 minutes; Level 3 drop would halt trading for rest of day
    Level 1/Level 2 halts can occur only 1x/day

Market CAN'T CRASH like the beautiful flash-crash in Bitcoin.
That's why, only the BANK-RUN is the solution at this days ...

[cyberpinoy]

I can´t see the connection between the China economy falling and buying Bitcoin. Does he means that many chinese will run to Bitcoin thus raising its price?

Whenever there is a problem in the financial industry of a country, be it from wars or other situations the normal routine is to use a fail safe method to store your money and its value, so after the disaster the true value of your money has not been impacted by the disaster.

Example: A country goes to war, you buy gold, after the war that countries value on its money has decreased yet your money was stored in Gold thus holding its original value and giving you more of your currency now than you had before.

Maybe he is trying to advise using Bitcoin as  a way to hold and store yourb money until the financial markets get back to the norm.

[Carlton Banks]

Crash.

I want a Crash.

The problem is that the Financial Exchange are all cheated : http://www.zerohedge.com/news/2015-08-24/how-much-lower-does-sp-have-drop-entire-market-be-shut-down

Based on S&P 500 close 1970.89 on Fri. and Level 1 circuit-breaker trigger of 7% drop, S&P 500 would need to drop to ~1833 to set it off, rules posted on NYSE website say.

    Level 1 halt at 7% drop; Level 2 at 13% (S&P 500 at 1715 based on Fri. close), Level 3 at 20% (S&P 500 ~1577)
    Level 1 or Level 2 drop between 9:30am-3:25pm ET would result in trading halt for 15 minutes; Level 3 drop would halt trading for rest of day
    Level 1/Level 2 halts can occur only 1x/day

Market CAN'T CRASH like the beautiful flash-crash in Bitcoin.
That's why, only the BANK-RUN is the solution at this days ...

Be careful what you wish for

[maokoto]

Thanks for all the replies and different points of view 

So, to sum up, he thinks Bitcoin will be more stable than the yuan. Which in my opinion is very doubtful.

[Carlton Banks]

Thanks for all the replies and different points of view  

So, to sum up, he thinks Bitcoin will be more stable than the yuan. Which in my opinion is very doubtful.

without seeking to contradict my previous reply, you should hear about exactly what's been going on in the Chinese financial system for the past year. Not saying I know when the most negative fallout could take place, but there's alot of structural problems. Not as dire as say, Japan or Greece, but it's deranged in it's own special way

[countryfree]

Thanks for all the replies and different points of view 

So, to sum up, he thinks Bitcoin will be more stable than the yuan. Which in my opinion is very doubtful.

If you look at what's been going on this past month, it's exactly the opposite which has happenedBTC has lost way more value than the yuan. And the yuan's devaluation wasn't market-driven, it was the Chinese government which ordered it.

[Pab]

 Looks like yuan is much more stable than btc

I am starting to think that Chinise are playing with so called westerness investors,speculators likecat is playing with
 mouse
.Markets cant blackmaile China like it was in USA,force China to provide stimuls and lower rates

China economy it is diffrent world,it is economy what is independent from markets,thay can even shut down stocks

It is now funy to watch titles-China collapse,Chinadidntcollapse for thousends years and now has to collapse

[Mickeyb]

Its not just China, the whole world is in a massive bubble.

Anybody been watching the US markets today? See the trip switches were hit due to the large drop resulting in trading being stopped to catch a breather.

Stocked markets were ripping seriously lower. FX markets were also on a rip in all directions with some currency pairs posting ranges almost triple the 'normal' daily ranges.

Yes, too bad that we afe having this debate at the moment. The XT fork is pulling us down at the moment. If we "looked healthy" to the investors and if the current block size debate wasn't taking place at the moment or was solved, I am sure we would see big price increases in Bitcoin price.

All of the stock markets in the world are plummeting down and people are panicking very much.
Oh well!

[Carlton Banks]

Its not just China, the whole world is in a massive bubble.

Anybody been watching the US markets today? See the trip switches were hit due to the large drop resulting in trading being stopped to catch a breather.

Stocked markets were ripping seriously lower. FX markets were also on a rip in all directions with some currency pairs posting ranges almost triple the 'normal' daily ranges.

Yes, too bad that we afe having this debate at the moment.

Extraordinary timing isn't it.

[maku]

I happened today. Shanghai market crashed. It was the biggest decline of this decade -  8,49% and every other market followed, EU and US are in bad shape, Australian and Brazilian stock exchanges as well.
The saddest part is that bitcoin will follow this trend and drop value as well. I can't decide if that is good or bad.