The reason for BTC drop

[Hydrogen]

US stock market lost 390 points today & has been on the decline for a few days now.

This comes hot on the heels of china's stock market crashing in a big way.

In times of economic distress people panic and sell.  

This leads to price drops in the stock market and in crypto.

BTC price drop isn't a sign bitcoin is dying.  Its an indication of the poor state of the economy.

[Meuh6879]

 Yep, it crashes ... rapidly  

http://www.zerohedge.com/news/2016-01-15/heres-chart-you-wont-see-cnbc








http://www.zerohedge.com/news/2016-01-15/european-stocks-enter-bear-market

[Hydrogen]

Thx for the charts.

I love zerohedge.   

[BruceLee007]

Now that the price of bitcoin has dropped below the $250, it is causing panic amid bitcoin-holders, speculators and everyone else who are related to the industry. It is being assumed that there is a connection between the constantly lowering bitcoin price and payment processor BitPay.

[~Bitcoin~]

Now that the price of bitcoin has dropped below the $250, it is causing panic amid bitcoin-holders, speculators and everyone else who are related to the industry. It is being assumed that there is a connection between the constantly lowering bitcoin price and payment processor BitPay.

Where you see bitcoin price as 250$?
And where you find connection between bitpay and price drop? What a useless speculation and also what you said is not true. Its better you look at market price before making post here in future.

[Denker]

Now that the price of bitcoin has dropped below the $250, it is causing panic amid bitcoin-holders, speculators and everyone else who are related to the industry. It is being assumed that there is a connection between the constantly lowering bitcoin price and payment processor BitPay.

I don't get it! Neither is the price down to $250 nor can I find any reason why to blame Bitpay for something which hasn't happened.
Are you on drugs? If so I advise to stop using whatever you consume my friend. It seems to have a ver serious effect on your mind!

[romero121]

The bitcoins drop is just due to the various ups and down in the world market. This has also been getting more and more because of the crisis taking place even in the economically grown countries such as European Countries, China, US and more

[BitcoinNewsMagazine]

Over the past 6-7 months bitcoin price has been very sensitive to news stories about an impending hard fork. This is due to "the sky is falling" mentality of many news outlets. Bitcoin will be fine, use any price drops as a buying opportunity.

[dothebeats]

The drama of a hard fork is what I could see as a reason for this price drop. This already happened last year, and I think it's not a different scenario right now. The price isn't what hurts me the most, actually, but rather the uncertainty of where would this ship go with devs wanting total control by proposing different changes.

[The Sceptical Chymist]

Over the past 6-7 months bitcoin price has been very sensitive to news stories about an impending hard fork. This is due to "the sky is falling" mentality of many news outlets. Bitcoin will be fine, use any price drops as a buying opportunity.

Agreed, and I'm doing just this.  That 'sky is falling' mentality you speak of has been with us for years, not just about bitcoin but the economy in general.  And Zerohedge has been a big part in bringing everyone the doomsday is a-comin' news.  Take everything they say with a huge grain of salt.

[pissedoff]

I think the main reason that the bitcoin market price dropped a lot is because of mike hearn leaving bitcoin.

[Glucose]

Now that the price of bitcoin has dropped below the $250, it is causing panic amid bitcoin-holders, speculators and everyone else who are related to the industry. It is being assumed that there is a connection between the constantly lowering bitcoin price and payment processor BitPay.

lol... wtf are you talking about

Bitcoin price is currently 375$. Stop taking drugs.

I think the main reason that the bitcoin market price dropped a lot is because of mike hearn leaving bitcoin.

Yeah this + the block size drama. In my opinion it isn't related to the "official" fiat economy.

[HI-TEC99]

Now that the price of bitcoin has dropped below the $250, it is causing panic amid bitcoin-holders, speculators and everyone else who are related to the industry. It is being assumed that there is a connection between the constantly lowering bitcoin price and payment processor BitPay.

lol... wtf are you talking about

Bitcoin price is currently 375$. Stop taking drugs.

I think the main reason that the bitcoin market price dropped a lot is because of mike hearn leaving bitcoin.

Yeah this + the block size drama. In my opinion it isn't related to the "official" fiat economy.

The Chinese banks are shut for over a week because of their New year, so they won't be able to deposit on exchanges. Their buying power getting reduced at the same time as the mike hearn and block size dramas could have led to the Bitcoin market price drop. There could be further drops this week until their banks reopen.

[angaper]

I am not a believer on technical analysis, and actually those charts don't give me an interesting signal about the current bitcoin price. In my opinion the BTC is overrated and that is why we will continue watching these downward movements continuously.

[yugo23]

US stock market lost 390 points today & has been on the decline for a few days now.

This comes hot on the heels of china's stock market crashing in a big way.

In times of economic distress people panic and sell.  

This leads to price drops in the stock market and in crypto.

BTC price drop isn't a sign bitcoin is dying.  Its an indication of the poor state of the economy.

Thanks a lot for this explanation.

But isn't it a bit strange to see btc price falling while it would seem a good investment while stocks are crashing?

[amacar2]

I am not a believer on technical analysis, and actually those charts don't give me an interesting signal about the current bitcoin price. In my opinion the BTC is overrated and that is why we will continue watching these downward movements continuously.

Price seems to be overrated talking about now but it has to have some steady growth before halving this year to be good rated.
The ongoing battle between two ideas about block size is causing all this drama.

[malafaya]

I am not a believer on technical analysis, and actually those charts don't give me an interesting signal about the current bitcoin price. In my opinion the BTC is overrated and that is why we will continue watching these downward movements continuously.

Even though techical analysis may work to some extent with the stock market, it seems to be totally useless for cryptos, so I've read. The reason behind this, and namely about altcoins, is probably because of the almost lack of intrinsic value vs. a big deal of human emotions envolved. As for BTC currently, yeah, I agree it has to do with the current "block size crisis". After that, we will most likely see it recover, if the issue is resolved properly.

[Fademigo]

The reason for the latest drop of bitcoin is that the block size increase is too far in the future, It might affect transaction time.

[7Priest7]

I think  only reason to btf proce drop is if guy that have a lot of bitcoins, will sell then, then price will go very low since people will panic

[NUFCrichard]

The reason for the latest drop of bitcoin is that the block size increase is too far in the future, It might affect transaction time.

What latest drop? The price is 1% up in the last week and 8% up in the last month?
The price is holding quite steady, I think the next push will take the price up to $500 or so.

There is a lot of economic and political uncertainty at the moment, something 'could' happen, like a new Leyman Brothers situation that would shoot Bitcoin massively higher, but otherwise things are ticking over, and in the right direction from a strong base!