Exact reason for the dump

[wxa7115]

It is just the volatile nature of it.
Do not be dragged by those analyst that says there is a real reason for all of those dumps and pumps that is happening.
It might have a little effect to it but that is just a little. You cannot still consider that as the main reason of all.

Go on, try to believe them. Let us see if they can really predict the right price of bitcoin for every analysis that they make.
Now that it is pumping again, what could be their reasoning now?

By nature we have the need to explain everything that we see around us and while this is a great characteristic that has allowed us to understand many of the mysteries of the universe this has also helped the spreading of misinformation, trying to predict what the market is going to do it is very similar to trying to predict what the next number in the roulette is going to appear, it is simply a useless exercise that doesn't lead anywhere.

There are simply too many variables and no person or computer can take them all into account to produce a realistic picture of the market and what it will do.

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[palle11]

Its because of Bitcoin. Period. Current news affairs affect the mentality of traders which in turn makes them buy and sell depending on their current decision. Long story short, supply and demand. Just trade as you wish, I see no need to determine exact reasons for a pump or a dump after all.

To my thought, I think after the rise of bitcoin in 2017 people came in and the market grew , then in 2018, people withdrew and this is why the bear has continued. The market is still waiting for inflow of money pumped in for another major pump.

[tippytoes]

Reading more theory about the dump might not help you at all, it will only make you confuse as different article might have completely different content and that will stir your mind, everything you read is just so speculative so its hard to judge IMO.

By making it look simple, just look at the future potential of bitcoin and you judge the current situation.
As for me, since I believe that crypto as a whole lead by bitcoin will prosper in the future, I always think positive and when there is an unexpected dump and pump, I always think these are just pure manipulation.

Very right, they can always formulate the reason of the dump but no one can actually identify the root cause of it. Because it is influenced by a lot of factors, no one can really pinpoint a single cause of it. Believing on your instincts and relying on your acquired knowledge are far better than accepting the speculations of those so-called experts.
And for me, yes, bitcoin will continue to soar as adoption is growing stronger in the field of blockchain technology.

[Shinpako09]

You can't determined what exactly the reason but can guess or speculate about it. As long as you are active and keep on watching those list you mentioned, you have an idea. You don't need to believe what you always read because some are just causing FUD. Like i've said, atleast you have an idea on what is happening. Depend on your guts, not with others word, you have your own mind, so used it.

[stepwilli]

Simply, stop looking for something to place the cause of Bitcoin price dip on!
When people stop doing this, they start doing the right thing at the right time, which is to buy the dip and stop complaining..
Too much of looking for the cause to pinpoint the price dip of Bitcoin will only make you to act on impulse.

No one is complaining actually but just curious for the reason of a sharp rise and similarly a sharp drop in the price of bitcoins. I love bitcoins but that does not mean I will just blindly buy bitcoins if I do not know the reason behind a drop of price that too very significant drop.

I have been reading a lot of articles lately too but still not sure what exactly caused this drop, although I am sure like you that it will rise again to a better value in near future but as a trader and holder of bitcoins I feel worried too as any extra money I save I buy bitcoins with those so its absolutely crucial for me to know what caused such a drop, if you guys find any helpful article please post it.

[Ayiranorea]

You can't determined what exactly the reason but can guess or speculate about it. As long as you are active and keep on watching those list you mentioned, you have an idea. You don't need to believe what you always read because some are just causing FUD. Like i've said, atleast you have an idea on what is happening. Depend on your guts, not with others word, you have your own mind, so used it.

If one can exactly determine the reason for the price dump he can be a billionaire out of cryptocurrencies in a very short time. FUD and other factors will be part that causes dump, but on very few occasions the real truth of bitcoin dumping is identified. Probably this can be understood only if we get to have a continued observation of market making comparisons with the growth achieved over the past.

[Zemomtum]

The only reason is that there are more sellers than buyers, besides, 2017 - 2018 lost is still fresh in the memory of some that lost huge capital. Most people are now taken caution and extra careful

[wxa7115]

The only reason is that there are more sellers than buyers, besides, 2017 - 2018 lost is still fresh in the memory of some that lost huge capital. Most people are now taken caution and extra careful

Simple and to the point, many traders and investors waste too much time trying to tell why a movement happened when that is not going to help them to make money in the markets, even if they found the exact reason about why the market moves the way it does the particular combination of circumstances that we saw at that point it is never going to present itself ever again.

Not only that even if they could make that analysis they are never going to be able to do it fast enough to react to the movements of the market so their attempts to try to tell why the market moves the away it does are a waste of time.

[ReiMomo]

The only reason is that there are more sellers than buyers, besides, 2017 - 2018 lost is still fresh in the memory of some that lost huge capital. Most people are now taken caution and extra careful

Perfect answer, but not all vary on this sentiment. As a matter of fact, there is no clear reason why it is still continuing dropped the price and in my own conclusion probably this month(celebrating yuletide season), most holders will selling their Bitcoin just to spend something, doesn't matter they will cut their losses. Overall, demand and supply was always there.

[freedomgo]

I have sources of information such as crypto new app, bitcointalk forum and I listen to crypto news once a while on BBC. Please, where am I getting it wrong?

You can't just based on that alone, use your analysis and close your eyes for sometimes and let your brain do the analysis.

Man this market has been manipulated, the whales take control as they have the power, it's true that news could affect the price but if the whales will not follow the news there is no action in the market, I believe as you survive you'll be more matured in the long run.

[davinchi]

To be really precise the "exact reason" for the dump is that there were more bitcoins sold on the market than there were bought, so the bought ones couldn't keep up and people sold for cheaper and cheaper to be able to sell their bitcoins since there were no buyers on higher prices left. That is literally the "exact" reason for the dump.

However, I feel like the more "secret" reason is that whales sold a bunch of bitcoins, probably around 16 thousand bitcoins (seen from whale alert) all at once and that destroyed some markets and there were not enough arbitrage buyers to recover it so the prices every where else fell as well. It is not something they have done for the first time, whales manipulate the markets this way all the time and this is god knows how many times they have done it now.

[Lanatsa]

Its because of Bitcoin. Period. Current news affairs affect the mentality of traders which in turn makes them buy and sell depending on their current decision. Long story short, supply and demand. Just trade as you wish, I see no need to determine exact reasons for a pump or a dump after all.

To my thought, I think after the rise of bitcoin in 2017 people came in and the market grew , then in 2018, people withdrew and this is why the bear has continued. The market is still waiting for inflow of money pumped in for another major pump.

The people who do only withdraw to those 2017 events are to those big players in most cases.Lots of investors wrecked up their portfolio specially to those who FOMOed that time.
Or shall we say that the bubble had popped out that time and lots of investors losing  out bigtime into their stashes.

Reason for Dump? Huge sell off or purely manipulation.It neither on the two and this had always been part of the risk of this kind of market.