Wondering why Bitcoin dropped by over 10% last night?

[btcforever2018]

Look no further than South Korea!

What was starting to become one of the major hubs of bitcoin trading got some rather harsh news last night.

Well it wasn't actually all that harsh, but apparently those selling bitcoin think so.

In news out last night in South Korea, regulators have announced that they will be regulating cryptocurrency exchanges.

What does that mean?

It likely means several things.

The big requirement going forward will be that exchanges will be required to verify their customers before allowing them to trade, which would go along with rules other financial exchanges abide by in the country.

That doesn't sound all that bad.

What was likely scary was the part where regulators said that they might also shut down some exchanges that are not abiding by these rules.

Which as you can imagine read like, "oh no exchanges are going to be shut down!".

Luckily that is not the case.

[pooya87]

i think people are mostly looking for a reason to explain what has happened. but in fact the reason had nothing to do with these news that actually was spread AFTER the drop. i haven't even heard about it until the drop was near the end!

and the pattern was very familiar and easy to explain. price tried to break out and rise it couldn't so it fell. last time it was at $15700 before it fell down to $12500 and this time it was higher at $16400 before it fell down to $13500.
now it is back to $15000 and rising again to test the upper resistance once more.

[SamReomo]

I would recommend you to not believe on news like this. I think that the dump is somewhat related to the new year because I think that the January will be an amazing month for the Bitcoin holders. Try not to sell your Bitcoin with panics from such news.

[Karakyli]

In other news on South Korea, it is indicated that the restrictions on trade in crypto currency in this country are mainly due to the fact that they try to limit the trading of the crypto currency of persons under 19 years of age. It is unlikely that this news somehow affected the depreciation of bitcoin in recent days. Bitcoin now fluctuates in price, which is peculiar to him when adjusted after his rollback from the big rate. Now the holidays are coming, so bitcoin is still resting. After the New Year, most likely, will again grow in the course.

[davis196]

Why anybody isn`t talking about the SegWit2X X11 activation and it`s influence over the bitcoin price.
I think that this Segwit2x fork increased the panic across the exchange platforms and newbie traders continue with the panic selling,while most of the HODLers continue to HODL.It`s like the bullish and the bearish trend are fighting against each other.
South Korea news don`t matter that much for me.

[TERA2]

It moves because of the TA, not any of this crap

[jeanpierre]

Maybe because South Korea are going to ban multiple exchange, I dont know if it's true or not but maybe people over there are scared so they sell bitcoin at a cheap price. Or maybe it's just because it's a holiday right now and bitcoin will be back after this

[Fortify]

Trying to pin down the reason that bitcoin rises and falls is an effort in futility. Unless something seriously major happens, like bitcoin being banned in China, then it is hard to see any correlation with small events like what happens in South Korea. Regulation should improve the trust and credibility within registered crypto-currencies, so may not be a bad thing.

[Conquerogue32]

I just think that it's money flowing out of Bitcoin and into alt coins such as XRP. This is the likely reason, but I'm not saying this is 100%.

[okala]

Traders are seeing a lot of panicking news and they are selling bitcoin because speculators are saying bitcoin is going to dump to $8,000. Panic is the number one enemy of every traders and if we can stop selling out of panic I believe that notting serious is really happening.

[Pursuer]

I am convinced that this is happening only because of the altcoin pumps, specifically Ripple pump which is currently ongoing. that is attracting a lot of funds out of the market like a big magnet which leads to a bigger and bigger XRP bubble. many will get rich in these 4-5 days before the bubble pops and then the money with its profit will come back to bitcoin.

maybe South Korea thing was a tiny bit of the recent drops but I wouldn't call it the main reason at all.

[TERA2]

It's hard to see any direction correlation of bitcorn with nipple prices. Sometimes its going with and sometimes against.

[kryptqnick]

The Koreans announced regulating exchanges before and there were supposed to be only 3 exchanges left while others had to be closed (bitfinex included). However, nothing happened and I believe nothing will, and maybe this dip is not related to Korea at all.

I would recommend you to not believe on news like this. I think that the dump is somewhat related to the new year because I think that the January will be an amazing month for the Bitcoin holders. Try not to sell your Bitcoin with panics from such news.

Last year began with bitcoin hitting a record mark of (which is not unbelievable) $1k. However, bitcoin was going there in December, the price was growing. As now we see bitcoin gradually going down, I suppose we won't see such a good January as we might've wanted. Perhaps it will stabilize around $16k which would be pretty good.

[Enre]

Could possibly be people liquidating en masse for the holidays, and Korean trading restrictions also.

[erikalui]

All false rumors were spreading around that bitcoin exchanges are shutting down, Korea has banned bitcoin exchanges or forces them to shut down which caused the Ripple price hike and Bitcoin price drop. It said that SK will ban cryptocurrency trading accounts and nobody yet knows what are the new regulations. I'm for one glad by their move but this panic needs to stop. Most traders these days are mostly verified on exchanges compared to earlier days.

[tomahawk9]

I am convinced that this is happening only because of the altcoin pumps, specifically Ripple pump which is currently ongoing. that is attracting a lot of funds out of the market like a big magnet which leads to a bigger and bigger XRP bubble. many will get rich in these 4-5 days before the bubble pops and then the money with its profit will come back to bitcoin.

maybe South Korea thing was a tiny bit of the recent drops but I wouldn't call it the main reason at all.

yeah, there was a pump trend going on altcoins but it didn't last long, look at the charts now, once Bitcoin starts dropping, altcoins follow, as usual.

About OP, there are some shady things going on with Bithum, I think it's pretty clear, but it is very unlikely that that the BTC drop is due to the korean news. There was a dip in the price at the time the news was spreading but it recovered quite fast, but now the downtrend continues so we can assume that the news from South Korea hardly had any influence over the Bitcoin price.

[Omega Weapon]

Look no further than South Korea!

What was starting to become one of the major hubs of bitcoin trading got some rather harsh news last night.

Well it wasn't actually all that harsh, but apparently those selling bitcoin think so.

In news out last night in South Korea, regulators have announced that they will be regulating cryptocurrency exchanges.

What does that mean?

It likely means several things.

The big requirement going forward will be that exchanges will be required to verify their customers before allowing them to trade, which would go along with rules other financial exchanges abide by in the country.

That doesn't sound all that bad.

What was likely scary was the part where regulators said that they might also shut down some exchanges that are not abiding by these rules.

Which as you can imagine read like, "oh no exchanges are going to be shut down!".

Luckily that is not the case.

Losing 10% in a day is not really anything special for bitcoin, I think you are making a mistake looking for some kind of reason for the movements of bitcoin, this is just the way bitcoin moves, now if we were talking about losing like 30% in a single day then I will agree that will be an alarm sign and that we should look for signs of what happened.

[Bloomie]

I think news articles are creating some panic with clickbaity titles and things along those lines. The SK restrictions sound good in my opinion, but the general public might have gotten the wrong message out of it. I think this downtrend will bounce back in the next few days as people start to understand it's not the end of the world.

[btcone111]

Probably not because of South Korea because btc in SK is still trading $4K above international market!

[iqlimasyadiqa]

I think news articles are creating some panic with clickbaity titles and things along those lines. The SK restrictions sound good in my opinion, but the general public might have gotten the wrong message out of it. I think this downtrend will bounce back in the next few days as people start to understand it's not the end of the world.

Whereas a panic will only make Bitcoin's image worse, we have a benchmark that when Bitcoin users make a sell then it is likely that the price of Bitcoin will decrease. This is what we should avoid because with the influence to sell Bitcoin then it will only make the decline in Bitcoin prices. We should believe and see the positive information because with it then Bitcoin will experience a good development and can avoid significant price reductions.