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Author Topic: Are stock markets the reason for the crash?  (Read 328 times)
Lionel (OP)
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November 17, 2018, 11:41:11 AM
 #1

I think it is not a coincidence that in the same days the stock market was red, the crypto market got red as well.
There is a link IMO , so there is not reason to think crypto is worthless, or that it is less worth than stocks.

I mean, it is not true that crypto crashed alone, while the rest of the world was happy.
When the crypto crashed, usually other markets crashed as well, like in the last downtrend.


Also, remember that the long-term profit that crypto gave us would not be possible with stocks.

Now what should we do?
I think that as the stock market begins recovering, crypto will follow.
But it may be a slow process, i.e. we lost 15% in 2 days, but now it can take weeks or even months to go back to the previous situation or even better.

This is because stocks are not going to recover fast: https://www.marketwatch.com/story/cnbcs-jim-cramer-says-stock-market-is-in-a-very-serious-correction-and-theres-nowhere-to-hide-2018-11-12

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November 17, 2018, 12:33:59 PM
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 #2

you have a very interesting theory but i have to say no, because this recent drop had a very clear reason so there can't be any other one for it. the reason was the BCH fork FUD that took bitcoin by the storm and manipulators had their fun with the price.

also so far as i can remember bitcoin has never had any relationship with stock market although a couple of times it went against it meaning when stocks crashed bitcoin soared up.

There is a FOMO brewing...
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November 17, 2018, 01:12:43 PM
 #3

I have often noticed like a "footprint" between Bitcoin and the stock market. But just a coincidence, (The market goes either up or down, so you have just 2 choices and so 50% to win each day... mathematically it's just natural) But never with a crash like the current crypto market is going through. And I doubt that contrary to what @BrewMaster says, it has nothing to do with the current BCH soap opera. Whatever it is, we still need some days to really know.

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November 17, 2018, 01:22:42 PM
 #4

How can the stock markets impact the crypto market?
Is there any panic selling that starts inside the stock markets and moves into the cryptocurrency markets?
I can't see such pattern.There only common thing between stocks and crypto markets are the trading bots. Grin Perhaps this "coincidence" is caused by the bots/automated trading (executing lots of stop loss orders,for example).

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November 17, 2018, 01:47:35 PM
 #5

More and more ICOs are entering the market.  But now I see that buyers are slowly becoming absent.  So the demand is decreasing.  No fresh takers appear in the markets.  Coins issued in the past have gone to deep wells.  
This has brought negative trend in the markets.  Sentiments are very much bearish.  It is also having impact on the price of the king of crypto i.e. bitcoin.

But I do not see any relation between the fall in price of stock markets and crypto presently.  Though may be at the time of national or international economic recession these may fall together. 
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November 17, 2018, 03:57:28 PM
 #6

Your theory seems pretty interesting, but I am not sure if exactly happened, may be some other and minor reasons were there.

but for me until now it was not known exactly, what caused the decline in the market. because there are many markets that don't like it too, so many people or individuals who sometimes fabricate stories for the sake of the market are destroyed. so we have to be more careful first. because the cause is not exactly known
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November 17, 2018, 04:00:30 PM
 #7

Stock markets play according to their cycles, which are not relevant to btc cycles. Of course, stocks do affect btc, but they don't define the whole direction. Regarding the current situation: we are now experiencing a bear market, and it's far from its end. So whether you correlate stock and btc or not, the downtrend will continue for a while.
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November 17, 2018, 04:01:37 PM
 #8

I think people draw more of a correlation between the stock exchange and crypto than necessary.

Correct. There's no super-relation, especially considering most people joined crypto in the second half of 2017, and a fair share of them know nothing about stocks Smiley
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November 17, 2018, 04:04:58 PM
 #9

Naaah. There is no correlation. The massive dump was that investors pulled their funds from other crypto to invest in BCH to participate in the fork. They'll soon start investing back in BTC and ETH once the fork is over.
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November 17, 2018, 04:12:04 PM
 #10

I think it is not a coincidence that in the same days the stock market was red, the crypto market got red as well.
There is a link IMO , so there is not reason to think crypto is worthless, or that it is less worth than stocks.

I mean, it is not true that crypto crashed alone, while the rest of the world was happy.
When the crypto crashed, usually other markets crashed as well, like in the last downtrend.


Also, remember that the long-term profit that crypto gave us would not be possible with stocks.

Now what should we do?
I think that as the stock market begins recovering, crypto will follow.
But it may be a slow process, i.e. we lost 15% in 2 days, but now it can take weeks or even months to go back to the previous situation or even better.

This is because stocks are not going to recover fast: https://www.marketwatch.com/story/cnbcs-jim-cramer-says-stock-market-is-in-a-very-serious-correction-and-theres-nowhere-to-hide-2018-11-12



If we follow historic data than yes

Price of bitcoin was fallowing Nasdaq in recent years
It is possible because bitcoin is kind of emerging asset what are not performing well during bessa time
It looks like there is not any serious investors on market but current sell off can be down before bitcoin really
Lets see what will happen next

 
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Halmater
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November 17, 2018, 04:49:46 PM
 #11

There is no evidence to say bitcoin and stocks market has a direct or indirect relationship in their trends. Financial markets are affected by each other and everybody knos it but this theory doesn't work for bitcoin. If market cap of crypto currencies increase in long term, we may see a connection between Nasdaq and cryrto market.
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November 17, 2018, 04:50:06 PM
 #12

I think it is not a coincidence that in the same days the stock market was red, the crypto market got red as well.
There is a link IMO , so there is not reason to think crypto is worthless, or that it is less worth than stocks.

I mean, it is not true that crypto crashed alone, while the rest of the world was happy.
When the crypto crashed, usually other markets crashed as well, like in the last downtrend.


Also, remember that the long-term profit that crypto gave us would not be possible with stocks.

Now what should we do?
I think that as the stock market begins recovering, crypto will follow.
But it may be a slow process, i.e. we lost 15% in 2 days, but now it can take weeks or even months to go back to the previous situation or even better.

This is because stocks are not going to recover fast: https://www.marketwatch.com/story/cnbcs-jim-cramer-says-stock-market-is-in-a-very-serious-correction-and-theres-nowhere-to-hide-2018-11-12



I think crypto is totally different with stocks.
It's a currency that can be used by anybody who has an internet connection, not like a commodity.
So i think there are no connection between stocks drops and crypto drops, just an accidental thing
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November 17, 2018, 05:20:52 PM
 #13

I'm just having a rethink myself, I have not read anywhere that bitcoin and stock market have any resemblance or similarities. Moreover, they are not controlled by the same indices. Stock market is strictly analysed based on economic indicators but bitcoin is independent and totally different.

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November 17, 2018, 05:27:27 PM
 #14

In my opinion, the two have a different story residing in the crash and the stock market is not involved with bitcoins crash and vice versa, But maybe there is some connection regarding the movements but I think it will be moving in a different direction and will not move in the same matter and often times we can see that different currency have a stable movement than cryptocurrency and I think the sudden crash of bitcoin has due to something rather it can be FUD or another manipulation but in terms the stock market sometimes have nothing to do with a sudden spike or fall for the price of bitcoin.
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November 17, 2018, 05:37:49 PM
 #15

I am looking for other reason.
what i know on this crash is the Bitcoincash fork.
yes, it is true for me! people sold their ETH and BTC just to get the BCH and be on the fork.
there were 2 forks of BCH which is good to have for free right?
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November 17, 2018, 05:42:52 PM
 #16

Since their rules are different and profiles of investors are not similar to each other, it is impossible to say that there is a relation between trends of stock and crpto markets. Crypto is new to financial markets and we don't see a stability in prices and fluctuation is very high when compared to assets of stock markets. We can also say that they are alternative to each other which means that the money goes out from stock market does not go to crypto market, vice versa.

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November 17, 2018, 05:47:12 PM
 #17

there is a global financial crisis that is more likely to happen this year that is why stockmarket and even crypto capitalization is affected by this crash in economy. i dont think that solely the stockmarket is the reason of fall in total market capitalization in crypto.
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November 17, 2018, 06:50:46 PM
 #18

you have a very interesting theory but i have to say no, because this recent drop had a very clear reason so there can't be any other one for it. the reason was the BCH fork FUD that took bitcoin by the storm and manipulators had their fun with the price.

also so far as i can remember bitcoin has never had any relationship with stock market although a couple of times it went against it meaning when stocks crashed bitcoin soared up.

You're trying to tell us that Craig wright, the fake satoshi who couldn't prove ownership of Satoshi's addresses, had something to do with the crash? Cheesy Good joke, i give you that! Most Bitcoin holders don't hold BCH and don't care about it, and Craig alone wouldn't crash anything.
The crash was probably caused by expiring futures because it happened on the same day.
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November 17, 2018, 11:51:12 PM
 #19

you have a very interesting theory but i have to say no, because this recent drop had a very clear reason so there can't be any other one for it. the reason was the BCH fork FUD that took bitcoin by the storm and manipulators had their fun with the price.

also so far as i can remember bitcoin has never had any relationship with stock market although a couple of times it went against it meaning when stocks crashed bitcoin soared up.

the ONLY reason for this crash, was that there were a lot of people fudding, also, the cancelation of the ETF for bitcoins, and a lot of other stuff that made it crash.

People stopped believing at 100% on bitcoin after a boring year, that is the sad truth.

But we are going to see it recovering sooner or later
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November 18, 2018, 04:11:59 AM
 #20

there is a global financial crisis that is more likely to happen this year that is why stockmarket and even crypto capitalization is affected by this crash in economy. i dont think that solely the stockmarket is the reason of fall in total market capitalization in crypto.
I think so, stock market has no major influence in cryptomarket dump and for me its more on the hard fork of the BCH that caused a lot of panic to some miners and even to the investors.

Its just a coincidence, and IMO when stock market dump cryptomarket should take the different way because investors will switch in cryptocurrency.

Also a lot of fud news circulating around cryptomarket, and they continue to discourage people from holding their coin and force them to sold it at a loss. So many negative speculation, but don’t listen to them listen only to yourself which more reliable compare to any fud news.
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