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Author Topic: Warren Buffet's stock goes up and down $1000's of dollars all the time  (Read 304 times)
neurotypical (OP)
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November 30, 2017, 02:04:57 PM
 #1

Warren Buffet's Berkshire Hattaway class A super stock always goes up and down thousands of dollars, sometimes tens of thousands and more, all the time, and no one is freaking out about it. For example, this is the movement in the last few days for November:



As Bitcoin grows and reaches 6 figures, 4 or 5 movement figures will be common, and even more common in BTC since it's a global uncensorable and unregulable market. Please stop panicking about going up and down $1000 dollars in a day, now that we are a 5 figure asset it is rather normal, again specially with Bitcoin. Just buy the dip and business as usual. Don't be the guy panic sells his moon tickets when this happens. See you for the next ATH.
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November 30, 2017, 06:01:56 PM
 #2

In the past month, the lowest that it's reached (according to Google) has been $271,410 and the highest price that it's reached is currently $290,000.

That's a percentage difference of approximately 6.85% in a month.

In the past month, the lowest that Bitcoin has reached (according to CoinMarketCap) has been about $5625, while the highest that it's reached has been about $11,350.

That's a percentage difference of approximately 101.78% in a month, which is about 14.86 times the change in Berkshire Hathaway stock.

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lordquanta
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November 30, 2017, 06:16:41 PM
 #3

First thing first, stock market is heavily regularized at least for common investors. There are strict laws against the company or person doing insider trading, artificial pumps and dumps. Come to the bitcoin world there are no laws. In fact pumps and dumps are common phenomenon in the bitcoin or for that matter crypto currencies. Warrens picked stock have done well in long term.
Now from the conspiracy theorists perspective, stock markets are tightly managed and controlled by the few big financial institutes or companies. there was a study which showed that in a year or two the percentage of trade success of one of biggest financial company from the wall street was 100%. Imagine not a single trade they made in two year gone south. All trades were hit. And they do thousands of microtransaction on daily basis. If this is not manipulation then what is?
Again don't give importance to what others are saying. Keep your head calm and invest bitcoin and HODL for long.
neurotypical (OP)
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November 30, 2017, 07:59:32 PM
 #4

In the past month, the lowest that it's reached (according to Google) has been $271,410 and the highest price that it's reached is currently $290,000.

That's a percentage difference of approximately 6.85% in a month.

In the past month, the lowest that Bitcoin has reached (according to CoinMarketCap) has been about $5625, while the highest that it's reached has been about $11,350.

That's a percentage difference of approximately 101.78% in a month, which is about 14.86 times the change in Berkshire Hathaway stock.

This just proves the fact that we are still on the early stages on Bitcoin. When Bitcoin is worth x15 times what it is now, the volatility will go down, naturally, as a matter of how capital works. You need a huge pool of money mass in order to avoid volatility in a market that's decentralized, global and non regulated.

It's just a matter of time. I predict at around a couple trillion marketcap in a couple of years we are going to see less and less volatility.
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November 30, 2017, 11:13:20 PM
 #5

This topic could easily turn into a discussion about volatility. Should volatility be measured in percentage points, or thousands of dollars? Does volatility matter if a large percentage of price movements are overwhelmingly in an upward direction? I haven't seen anyone who bought amazon's stock at $18 and HODL'ed until it reached $1,200 complaining about "volatility". Who complains about bitcoin's "volatility" when the price has gone from $200 to $10,000?

I suspect Jamie Dimon is the only one upset about bitcoin's "volatility" & that may be an interesting thought to consider.

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December 02, 2017, 09:54:37 AM
 #6

This just proves the fact that we are still on the early stages on Bitcoin.
Well my main point isn't that BTC volatility can never end, just that it's extremely serious now.  

I was pointing out that a change of thousands of dollars in Berkshire Hathaway stock is not as serious as thousands of dollars in BTC price because of how significantly lower BTC's price is.

There's also the fact that Berkshire Hathaway is backed by actual activity, and the price's speculation is just over what that activity is worth.

In Bitcoin's case, it's much harder to keep the price pegged down like that.  Similarly, gold has huge swings over many years.

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davis196
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December 02, 2017, 12:25:14 PM
 #7

First thing first, stock market is heavily regularized at least for common investors. There are strict laws against the company or person doing insider trading, artificial pumps and dumps. Come to the bitcoin world there are no laws. In fact pumps and dumps are common phenomenon in the bitcoin or for that matter crypto currencies. Warrens picked stock have done well in long term.
Now from the conspiracy theorists perspective, stock markets are tightly managed and controlled by the few big financial institutes or companies. there was a study which showed that in a year or two the percentage of trade success of one of biggest financial company from the wall street was 100%. Imagine not a single trade they made in two year gone south. All trades were hit. And they do thousands of microtransaction on daily basis. If this is not manipulation then what is?
Again don't give importance to what others are saying. Keep your head calm and invest bitcoin and HODL for long.

The stock markets are heavily pumped by FED as well.If the federal reserve system decides to stop it`s printing mchine,all the stocks,including Berkshire Hathaway stocks,will become 50% cheaper.I think that FED is pumping the cryptocurrency markets and the bitcoin price as well.
Anyway,nobody is freaking out about Berkshire Hathaway stocks price volatility,because the people have trust in Warren Buffet.They think that he is a financial god. Grin

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December 02, 2017, 02:25:51 PM
 #8

This just goes to show how trust plays a big factor in an entire market. Everyone knows Buffet is a man to be trusted when it comes to investments, so everyone doesn't bat an eye when his own holdings fluctuate wildly in price because they think it's normal on a regulated market. However in the case of bitcoin, not much regulations have been imposed and trading isn't really guarded by the government's watchful eye. Insider trading and market manipulation is always present, even in heavily-regulated assets. Buffet's stocks aren't even an exception on market manipulation.

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