Reason for the dump in Bitcoin and most of the Altcoin?

[Obito]

So far I see no such thing as strong FUD spread. I want to believe its just a mere correction and have the mindset that it would bounce back within a short period of time.

There's also the possibility that the unemployment claims in the US might've caused the crash but I am not sure if that's one of the driving forces that's causing all of this dump, it was actually a good day to buy some crypto since it's all going down so what better time to buy when the prices are reduced right?

[slaman29]

I don't get why the majority expects the market to be bullish only. It certainly is a correction deriving from a variety of reasons. I've read that it's due to the collapse of the NASDAQ index, which is closely correlated with Cryptocurrency for some reason. On top of that, the new Omicron virus strain is driving all markets downhill (see stock market, oil commodities, etc.).

It's making money so of course everyone talks about making money. Look at stock markets, look at precious metals markets, even forex markets. Everyone is always bullish and expecting bullish directions only until the bear comes and they can't deny the market is down... although actually even in a crash majority of people say this can only mean going upwards;)

Real estate, retail, everywhere. Crypto people are the examples of the highest of all this behavior.

[ivankoh]

Your statement here is flawed because the new COVID variant known as Omicron was found a week ago and most markets have been reacting to it in a negative way and have dumped long before bitcoin showed any reaction.

I think bitcoin's position in the bull cycle is not affected by the new variant of covid19 it is just a state created to try to increase the position of the bulls mining the community FUD sentiment . 1.3 billion liquidated below shorts shows that elements can be actively created. Interspersed with hacks that look coincidental. Damn it, it takes up many advantages

[livingfree]

Things were getting better as we were expecting a pump in the value of bitcoin but it was dropped by over 10%. Is it just the usual December pulback or it is here to stay I mean a long bearish run? How are you preparing for a possible bull trap and now even if it was temoprary it might take some for the market due to fud.

Not only during December but take it as a normal pullback for the whole market. There's no certain season that it chooses.

You just can't expect to be moving up unstoppable but it has to go through this dip because it's a way of balancing the market. If there's no correction, it would be more fearful to look at it as is.

It's just a pullback so don't think of it as a bearish run. We're yet to see the actual sign of it.

[Fredomago]

So far I see no such thing as strong FUD spread. I want to believe its just a mere correction and have the mindset that it would bounce back within a short period of time.

There's also the possibility that the unemployment claims in the US might've caused the crash but I am not sure if that's one of the driving forces that's causing all of this dump, it was actually a good day to buy some crypto since it's all going down so what better time to buy when the prices are reduced right?

Just like buying inside the mall, you always looking for the sale right? using the same concept but not forgetting to do your DYOR.
The market still down and most of those who continue to sell their coins are fearing that they might lose their whole investment,
trying to limit or cutting their losses.

Investing without proper knowledge will surely end you up doing this, losing portions of your initial investment and the chance that you will keep doing it from time to time is unavoidable.

[noah tall]

I can say that in the December the whales withdraw a big amount from crypto market for Christmas . So market getting dump in every December also some coins are in hype because of there launchpad. Other cause may be shifting of money for one to another .

[Botnake]

Things were getting better as we were expecting a pump in the value of bitcoin but it was dropped by over 10%. Is it just the usual December pulback or it is here to stay I mean a long bearish run? How are you preparing for a possible bull trap and now even if it was temoprary it might take some for the market due to fud.

Not only during December but take it as a normal pullback for the whole market. There's no certain season that it chooses.

You just can't expect to be moving up unstoppable but it has to go through this dip because it's a way of balancing the market. If there's no correction, it would be more fearful to look at it as is.

It's just a pullback so don't think of it as a bearish run. We're yet to see the actual sign of it.

Right. Just think of it as a normal scenario that do appears after a bullish season and since the people will be spending for this holidays, crypto prices will definitely be more dumping. Aside from that, this new covid variant is affecting the whole market industry, same with what we had with those previous issues of covid. But i know all these things will be temporary and bitcoin and the rest of promising coins will certainly move upwards once the market returns to normal. We are not yet bearish, neither bullish this time.

[Leviathan.007]

I don't understand why people are always asking for the reason whenever the price falls even for a few days in the bitcoin market. If you understand the market you know there should be always a price correction and sometimes complex and side movements to save the potential for higher targets, there is where the bears should make their hands empty and it's not just about bitcoin but in any market that's necessary and nothing abnormal, during this time market give us a discount you buy more and smart people will use this chance to increase their assets with cheaper bitcoins.

[pooya87]

I would imagine there are a lot of short
trades on the market by those who believe we are going lower.

You are partially right but that wasn't the starter of the dump. Because when I look at the number of shorts on Bitfinex for example and compare it with how price changed I can't see an increased number of shorts before the dump, but mainly after the dump starts and a major support is broken. Then another final peak is when the drop has stopped.

The first peak in shorts happens when price reaches $52000 then it drops when price recovers a bit and stays there but then drops significantly until the second peak when price breaks $50k support then it starts piling on and pushes the price lower but a little until we reach $49k then falls off. The final peak is the volatile $40k range.

Isn't there some sort of correlation between the world economy (stock market, indexes etc.), with the cryptocurrency market? I also don't believe that Bitcoin is affected by Covid and the Omicron variant, however, the apocalypse of the new variant did affect the stock market, which could potentially have a negative impact on cryptocurrency, or am I wrong?

Well it is hard to say. Obviously the global economy affects bitcoin but in what way, we can not yet say. Some believe when the world economy fails, bitcoin will thrive and some say bitcoin will follow it down. So far all I've seen was an independent market that moves on its own regardless of what is happening in other markets.

Additionally you should see the timings. When the news about the new virus variant came out sock market crashed right away but bitcoin didn't show any reaction, in fact I made a post in a topic in speculation board about how bitcoin has gone up $4000 during that time mocking those who keep insisting bitcoin follows stock market. Then 5 days after stock market crash began, suddenly we see bitcoin price drops.
At least when the pandemic began and bitcoin price crashed it was right away as other markets were crashing too.

[Zanab247]

Bitcoin dumping is for a reason, either for more traders to buy more bitcoin and hold until the price move higher before they can release them for sale to enable them to make a good profit. Whenever bitcoin price start dumping in the month of december is a sign that the price is about to increase higher in the exchange market for traders to achieve their profits from the market.
Many altcoins that is dumping correctly, is for altcoin investors to recover from their losses they have experienced few months ago in the community. Those altcoins dumping in the market, is a sign of season for many altcoins investors to invest more money on altcoins to be  part of profits making in the community.

[davis196]

I guess that the October Bitcoin price pump was just a price bubble,which was caused by news about a Bitcoin ETF and the wave of optimism,since the October China FUD failed.
That Bitcoin price bubble popped and we are returning to the price levels before October-somewhere between 36-44K USD.I assume that we will have to wait to a few months,before the price pumping back to 50-65K USD.
Congrats to all the people who sold some BTC at 50-68K USD.You made a decent profit.
Now we all have to just HODL and wait for the market to recover.

[Lizzylove1]

The market has been very bullish printing alot of $$$, if I were to be honest, a correction was needed in other to prepare for another double leg up. How long this correction is going to last is not something I can really tell. I personally don't think we have entered the bear market, with the raging fire of the Metaverse, I believe we are still going to experience some good fire works.

[24Kt]

Bitcoin dumping is for a reason, either for more traders to buy more bitcoin and hold until the price move higher before they can release them for sale to enable them to make a good profit. Whenever bitcoin price start dumping in the month of december is a sign that the price is about to increase higher in the exchange market for traders to achieve their profits from the market.
Many altcoins that is dumping correctly, is for altcoin investors to recover from their losses they have experienced few months ago in the community. Those altcoins dumping in the market, is a sign of season for many altcoins investors to invest more money on altcoins to be  part of profits making in the community.

This is what I am feeling also as this phase is like accumulation phase for those who can afford to buy more. People should not panic as the adoption is quite different today. So I don't think we need to compare what is happening in the market from previous years. Not looking for reason of dumping the price as one can't pinpoint exactly why. But for those who are accumulating more just like El Salvador, it means, they strongly believe there's good future in btc. Because if not, why are they shelling millions of dollars to buy btc?

[Slow death]

I can say that in the December the whales withdraw a big amount from crypto market for Christmas . So market getting dump in every December also some coins are in hype because of there launchpad. Other cause may be shifting of money for one to another .

if there's one thing I noticed in this crypto market:

whales and hodl don't sell bitcoin to buy christmas stuff, they have real world money to buy christmas stuff

these guys who make Hodl or whales are making long term investments, they can only sell to buy low, but they don't sell to spend.

[South Park]

Things were getting better as we were expecting a pump in the value of bitcoin but it was dropped by over 10%. Is it just the usual December pulback or it is here to stay I mean a long bearish run? How are you preparing for a possible bull trap and now even if it was temoprary it might take some for the market due to fud.

At least to me people waste too much time trying to find reasons for behaviors in the market that can be easily explained by just the supply and demand of bitcoin and its inherent volatility, there is not really much to explain, bitcoin went down simply because too many people sold their coins at the same time, and I think this has to do with traders using too much leverage to the point that a significant movement wiped them out forcing them to sell their coins at whatever price they could get, decreasing the price even more in the process.

[Vaculin]

I can say that in the December the whales withdraw a big amount from crypto market for Christmas . So market getting dump in every December also some coins are in hype because of there launchpad. Other cause may be shifting of money for one to another .

if there's one thing I noticed in this crypto market:

whales and hodl don't sell bitcoin to buy christmas stuff, they have real world money to buy christmas stuff

these guys who make Hodl or whales are making long term investments, they can only sell to buy low, but they don't sell to spend.

Whales are more known to have bundle of money so they can spend as much as they want without touching their cryptos. But for regular hodlers, i think they also plan to have some funds for this holiday season so they will probably sell some of their coins. So its not really surprising that there will be price dumps these days as more people are going to spend than to save. And its always a trend every december, but after this we will still witness price recovery once all these activities will be over.

[Boov]

Things were getting better as we were expecting a pump in the value of bitcoin but it was dropped by over 10%. Is it just the usual December pulback or it is here to stay I mean a long bearish run? How are you preparing for a possible bull trap and now even if it was temoprary it might take some for the market due to fud.

The reasons was due to people facing a lot of struggles during the danger zone of each and everybody's financial situation. Fud and other related circumstances was making it so hard to survive, yet many also strive harder in order to sustain despite of every challenges. As we can see the dip isn't that worst compared from previous year, hopefully this would only take temporarily and not that bearish.

[savetheFORUM]

Things were getting better as we were expecting a pump in the value of bitcoin but it was dropped by over 10%. Is it just the usual December pulback or it is here to stay I mean a long bearish run? How are you preparing for a possible bull trap and now even if it was temoprary it might take some for the market due to fud.

My advice would be that you should wait and have patience for now. Yes, the market is really done, and a lot of people will be afraid now and they would start selling their assets because they don’t want to lose their money. But personally, I think those who are going to benefit more from this are those who are able to have patience for now. Just because it is going down doesn’t mean that it is going to keep going down till December is over, there is still much chance that it will increase.

Look at the past charts, especially in 2017, you would see that there was a time before December was over the market went down the same way, but that was the same time that the market went up and reached a new all time high price.

[livingfree]

Things were getting better as we were expecting a pump in the value of bitcoin but it was dropped by over 10%. Is it just the usual December pulback or it is here to stay I mean a long bearish run? How are you preparing for a possible bull trap and now even if it was temoprary it might take some for the market due to fud.

Not only during December but take it as a normal pullback for the whole market. There's no certain season that it chooses.

You just can't expect to be moving up unstoppable but it has to go through this dip because it's a way of balancing the market. If there's no correction, it would be more fearful to look at it as is.

It's just a pullback so don't think of it as a bearish run. We're yet to see the actual sign of it.

Right. Just think of it as a normal scenario that do appears after a bullish season and since the people will be spending for this holidays, crypto prices will definitely be more dumping. Aside from that, this new covid variant is affecting the whole market industry, same with what we had with those previous issues of covid. But i know all these things will be temporary and bitcoin and the rest of promising coins will certainly move upwards once the market returns to normal. We are not yet bearish, neither bullish this time.

Yeah.

That's another thing for sure, the expenditures that we're having every season is also affecting the market. Like the new years, holidays and other sort of seasons for which people are spending a lot.

If bitcoin goes stable to $50k for a week or two, then this would be turning again another speculation if it will go another low.

[dansus021]

first of all the dump can happen because many reason all the reason that give before i post is can be the reason and why the altcoin is also dump it because  some of coin have btc pair so what happen on bitcoin will also take effect on the altcoin some trader call it 'bitcoin wave' when bitcoin price drop with large red candle all the altcoin will take the effect like chain. its happen also on bullish altcoin some with small red candle