Why is bitcoin plunging? What is the reason for this?

[lixer]

There were many things/events are causing the market price of Bitcoin to fall, but I think this is what’s expected to happen after a bull run, and let’s say maybe a lot of people are starting to cash in their profit and that’s why the market had been falling.

Most of us wants the market to go up steady so that we can keep making a lot of profits, but it doesn’t work that way, there is definitely going to be a bearish trend at some point. Although one thing I have noticed is that the lowest is usually above the lowest in the past. So right now that we have seen the price go as far up as $65,000, when it drops it’s possible that it might not go below the price of $28,000.

I know that we are not going to be able to actually fix this easily, I know that it is going to take time to recover back to 40k+ and price tries to haggle above 30k right now, reached 33k back recently so that is a good thing, but still far away from 40k. However it is obvious that it is not going to be easy, it is definitely a troublesome situation that we need to learn how to handle.

Every time it drops there are people who think it is crashing and panic sells their coins, every time it stops going down there are people who think it will skyrocket right away and buy, maybe we should be a bit more calm. Look at the volumes and liquidity, it got so much bigger in the recent year alone, it has been really crazy, I personally would want to see crypto doing great, but I do not want it to go up super high if it is going to crash back down again so quickly, I want it to go up slowly but steadily and stay there.

[carlfebz2]

There were many things/events are causing the market price of Bitcoin to fall, but I think this is what’s expected to happen after a bull run, and let’s say maybe a lot of people are starting to cash in their profit and that’s why the market had been falling.

Most of us wants the market to go up steady so that we can keep making a lot of profits, but it doesn’t work that way, there is definitely going to be a bearish trend at some point. Although one thing I have noticed is that the lowest is usually above the lowest in the past. So right now that we have seen the price go as far up as $65,000, when it drops it’s possible that it might not go below the price of $28,000.

We know that market cant just pump forever or having a bull run for a long time.It wont be called a market if there would be no corrections and dumps like this because that would really be ending up to be manipulative one.

Profit taking, whale manipulation, random dumps.These are several reasons on why market do really decrease out its value and if you are a trader or investor then you would really be needing to be wise on riding up with these waves.

If volatility wasnt here on the first place then this community wont really be this big.

[STT]

Its been about 6 weeks since BTC entered into a fairly steady range, its been volatile in moments exceeding that range before resolving itself with price retracted and returned back to a course sideways overall so it does not resemble a plunge since the movement of price from the highs its been here back and forth.
  We are not at 40k and we're even less near to 30k overall its reeled in both sellers and buyers in order to find who will last longer in this holding pattern.   The 50 week average below is going to rise quite slowly, that might determine a time to break out but sooner is the 50 day average declining to these prices.   We might at first be restricted by the decline in 50 day after that it may relieve selling pressure and we rise.

[batang_bitcoin]

It's so sad to see that there are newbies that always think of bitcoin's end whenever a correction comes. I think it's important for you guys to be aware of what you're investing with your hard-earned money before you deal with the market and buy your own bitcoin for your stash.
Having no knowledge or the background what happened in the past will make you feel bad when bitcoin plunges. It won't be dead and it won't just come by a surprise.

[DU18]

Bitcoin has been in the doldrums for nearly a month, what caused such a thing to happen. Could he be the end?

Many factors caused the bitcoin price to fall today, including the controversy over Elon Musk tweet, many whales selling their bitcoins and also the Chinese government current ban on crypto activities, but from some of these reasons, I think the Chinese government has banned bitcoin mining activities is the biggest cause of the current fall in the price of bitcoin, admit it or not China is one of the mecca of the world economy today, so any sentiment issued by the Chinese government will certainly have a direct impact on the world economy, including in terms of crypto.
The second possible reason that caused crypto prices to fall is because the US monetary and fiscal policies are considered more catalytic so that investors see the possibility of the US central bank, the Federal Reserve (The Fed) starting a quantitative easing program that increases liquidity.

[Slow death]

we are all wondering the reasons why prices fall, something normal for us to ask these types of questions, in my opinion what happened was the following:

paypal made the announcement that it was accepting bitcoin and with that the price increased a lot until it broke $20,000, but precisely until it reached $28000, then the elon musk twitters appeared that boosted the price until it reached $60,000, reaching $60,000 elon musk shoots negative twitters about bitcoin and this caused people who already had profits to start selling causing the price to drop to $30,000. after that it's just an oscillation of $28000 - $30,000 which is strong support and to $37500 - $39000 which is strong resistance, ie when it doesn't break resistance it falls to a strong support and when it doesn't break the support rises to a strong resistance

[FanEagle]

Many factors caused the bitcoin price to fall today, including the controversy over Elon Musk tweet, many whales selling their bitcoins and also the Chinese government current ban on crypto activities, but from some of these reasons, I think the Chinese government has banned bitcoin mining activities is the biggest cause of the current fall in the price of bitcoin, admit it or not China is one of the mecca of the world economy today, so any sentiment issued by the Chinese government will certainly have a direct impact on the world economy, including in terms of crypto.
The second possible reason that caused crypto prices to fall is because the US monetary and fiscal policies are considered more catalytic so that investors see the possibility of the US central bank, the Federal Reserve (The Fed) starting a quantitative easing program that increases liquidity.

The price is already back over 36k price, which is all that we need to know about the market. What does this tell us? Well it tells us that even when Elon tweets, even when Chinese miners close shop, even when everything seems like it is going to suck, we still end up going back up again at these prices.

I am not saying that it went to a great price, we were over 40k just two weeks ago so that drop did cause it to be overall lower than what it was, however it also showed us that even when it goes down, then it goes back up and that is what we should be looking for in the market, a failure to keep going down. So, this means that if people end up buying at near 30k levels, that is going to help them and it has already happened three times total when price reached near 30k (and even go down under 30k once) and then went near 40k levels, that is a great profit to make if you took advantage of it.

[leea-1334]

This is not unique to crypto only though,,, every system has inherent risk and the rewards for those who take that risk are always higher as proportional to the risk they take. The safer the system, the less the risk:reward ratio. But let us not be fooled by thinking there is no more reward to Bitcoin. It is STILL high risk in comparison to so many other existing things out there:)

Sometimes being too worried as well not enjoying the moment leadks to difficulties in accepting the profit,  if there are time the market seems good take advantage on buying but still will limit on what to buy.

Which is why I do not trade and just set long-term goals for myself. Buy every time you have cash to spare,,, or save whatever earnings you get in crypto. And then do not check.

The worry comes from having money you cannot afford to lose,,, and the constant checking markets where you cannot even change anything anyway.

DCA is always the best for most people.

[wxa7115]

This is not unique to crypto only though,,, every system has inherent risk and the rewards for those who take that risk are always higher as proportional to the risk they take. The safer the system, the less the risk:reward ratio. But let us not be fooled by thinking there is no more reward to Bitcoin. It is STILL high risk in comparison to so many other existing things out there:)

Sometimes being too worried as well not enjoying the moment leadks to difficulties in accepting the profit,  if there are time the market seems good take advantage on buying but still will limit on what to buy.

Which is why I do not trade and just set long-term goals for myself. Buy every time you have cash to spare,,, or save whatever earnings you get in crypto. And then do not check.

The worry comes from having money you cannot afford to lose,,, and the constant checking markets where you cannot even change anything anyway.

DCA is always the best for most people.

While it is a common advice that people should only invest what they can afford to lose this is a very difficult advice to follow, after all a person investing in any market is doing so with savings that took them years if not decades to accumulate.

This means that people are going to get anxious of every single market movement and even if many people are still in profits despite the current price this does not change the fact they are worried that a new drop may come which may reduce their profit margins even more.

[Ararbermas]

Bitcoin has been in the doldrums for nearly a month, what caused such a thing to happen. Could he be the end?

bitcoin will not end mate because it's still so high and expensive and it's too far to become shitcoin fyi. Lol probably you were new in the space reason you don't know anything why it often happens to bitcoin and what are the causes behind of every fluctuation in the market . You need to make research mate in fact all the information can easily search through Google so you must try it if you have more questions about how bitcoin really works and etc, because it's very informative through that way to be honest..

[poldanmig]

This is not unique to crypto only though,,, every system has inherent risk and the rewards for those who take that risk are always higher as proportional to the risk they take. The safer the system, the less the risk:reward ratio. But let us not be fooled by thinking there is no more reward to Bitcoin. It is STILL high risk in comparison to so many other existing things out there:)

Sometimes being too worried as well not enjoying the moment leadks to difficulties in accepting the profit,  if there are time the market seems good take advantage on buying but still will limit on what to buy.

Which is why I do not trade and just set long-term goals for myself. Buy every time you have cash to spare,,, or save whatever earnings you get in crypto. And then do not check.

The worry comes from having money you cannot afford to lose,,, and the constant checking markets where you cannot even change anything anyway.

DCA is always the best for most people.

it seems that you are an optimistic person and also dare to take big risks, so you dare to save and target prices according to your own wishes without going back to looking at current market conditions, to be honest, I personally feel the need to continue to monitor the assets I have and when indeed I think the price will no longer rise, I will prefer to sell the asset even though I have to lose a little money that I have.

[Connor Britton]

The main reason for the collapse of Bitcoin is due to a series of measures recently introduced by China that have led to the price drop. Decline, but Bitcoin has also rebounded in the middle. I would rather regard this decline as a rest period for Bitcoin, because Bitcoin has risen very high since last year, and it will take a period of time to adjust. I think this is to reach a new height. There is no need to worry too much about the price of Bitcoin for the necessary rest period.

[erep]

The main reason for the collapse of Bitcoin is due to a series of measures recently introduced by China that have led to the price drop. Decline, but Bitcoin has also rebounded in the middle. I would rather regard this decline as a rest period for Bitcoin, because Bitcoin has risen very high since last year, and it will take a period of time to adjust. I think this is to reach a new height. There is no need to worry too much about the price of Bitcoin for the necessary rest period.

Bitcoin has been stuck in the $30-35k range for the past few weeks and I agree if this is a break after the ATH movement in the last few months, the period is highly anticipated as bitcoin has declined by more than 50% and the opportunity to buy cheaper to hold in the long term.

[Nora Olin]

Bitcoin is declared dead by many people, but it will return as a victor every time. After each plunge, it will still rise, ups and downs. However, the recent suppression by China is clearly a more critical issue. Although it will affect, but the problem is not big, he will still exist, and the future can be expected.

[DU18]

Bitcoin is declared dead by many people, but it will return as a victor every time. After each plunge, it will still rise, ups and downs. However, the recent suppression by China is clearly a more critical issue. Although it will affect, but the problem is not big, he will still exist, and the future can be expected.

for those who have been in the crypto world for a long time, of course, they realize that crypto is a volatile asset so prices can go up and down at any time without anyone being able to predict 100% accurately, and the decline that is happening now is no different from what happened in 2018. (repeating cycle) so that those who are optimistic will certainly keep their bitcoins. Actually what the Chinese government did this year, has also been done by the Chinese government in 2017, but the difference is when the Chinese government banned bitcoin but on the other hand they tried to make their own digital currency, namely the yen in digital form, but now This expulsion of bitcoin miners is one of the triggers that makes the market fall, but even so, if we look at the existing experience, of course, it is very likely that the bitcoin price will improve again on the condition that there is a positive impulse or sentiment that will return to the market later.

[ILuckyGuyI]

Of course it doesn't mean that this is the end. You are saying it like we are seeing Bitcoin like this for the first time. Bitcoin has had many bad periods. We've witnessed many bear markets. After some time, Bitcoin always recovered. This is a similar situation also. We will see the price getting stuck at these levels for some time more and it will start recovering after a point.

[SquallLeonhart]

for those who have been in the crypto world for a long time, of course, they realize that crypto is a volatile asset so prices can go up and down at any time without anyone being able to predict 100% accurately, and the decline that is happening now is no different from what happened in 2018. (repeating cycle) so that those who are optimistic will certainly keep their bitcoins. Actually what the Chinese government did this year, has also been done by the Chinese government in 2017, but the difference is when the Chinese government banned bitcoin but on the other hand they tried to make their own digital currency, namely the yen in digital form, but now This expulsion of bitcoin miners is one of the triggers that makes the market fall, but even so, if we look at the existing experience, of course, it is very likely that the bitcoin price will improve again on the condition that there is a positive impulse or sentiment that will return to the market later.

That's literally me, I have been in crypto even before the 2014 bull run, so I have seen this now 3 times so far and I know what is going to happen. I realize that the price of bitcoin is not only volatile but also goes up in the long run, in 2014 when the price reached 1400 and dropped people said it would never recover, then we have seen 20k in 2017 and when it went down to 3k in 2018 people said it will never recover and now we have seen at highest 64k and now there are less people that say we will never see that, because people finally realized that bitcoin could go down but it will always go up in the long run and that is what I like about it as well.

All those news and bad stuff that is coming out of some nations are irrelevant because the price will always go up in the long run and that is what I care about, in a few years 64k will not be ATH for sure.

[btc_angela]

The main reason for the collapse of Bitcoin is due to a series of measures recently introduced by China that have led to the price drop. Decline, but Bitcoin has also rebounded in the middle. I would rather regard this decline as a rest period for Bitcoin, because Bitcoin has risen very high since last year, and it will take a period of time to adjust. I think this is to reach a new height. There is no need to worry too much about the price of Bitcoin for the necessary rest period.

China news is over though, but perhaps we are still feeling the impact because the Chinese miners may have pulled the plug already. We have seen the hash rate falling down hard recently. In any case though, the impact will not be long term. And it's good that the minings are no longer concentrated on one country. So let's just wait for a while, others call this boring, but the best thing to do is just continue to accumulate and wait for the bull run to resume. And bitcoin is not going to die or something, it will continue to thrive and will go on it's normal cycle.

[STT]

Stuck in a range, gains unlikely is enough to contain any upside action from fast profit taking.  It can easily make a graph look like a plunge when its a normal reversal and tide change going through more of a cycle then a collapse.
   There is no more to doubt then the rise itself was impossible, my firm belief is we end the cycle between tide upwards and back down further ahead and so overall in a bullish formation longer term.   People of course look at prices daily not so much on a year cumulative view, we are all a little more impatient then is best given with a full perspective view .

[cabron]

Stuck in a range, gains unlikely is enough to contain any upside action from fast profit taking.  It can easily make a graph look like a plunge when its a normal reversal and tide change going through more of a cycle then a collapse.
   There is no more to doubt then the rise itself was impossible, my firm belief is we end the cycle between tide upwards and back down further ahead and so overall in a bullish formation longer term.   People of course look at prices daily not so much on a year cumulative view, we are all a little more impatient then is best given with a full perspective view .

There is nowhere on the earth that will make you invest in something, all markets are acting the same way as the stock market and inflation is also rising which is why everyone is selling their coins to buy something they will need. Looks like everyone is going to lose money after the bullrun. To some analysts the market isn't going sideways, it's going down to $24k. We could look at it as a notification to sell or just hold until another cycle.