Why the dump? (Dec 03, 2021)

[Turbolantern]

K...just woke up from hibernation. Can someone sum up the reason for this dump?

[1713971483]

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[cryptoaddictchie]

K...just woke up from hibernation. Can someone sum up the reason for this dump?

Probably due to this news:

https://www.fool.com/investing/2021/12/03/us-and-china-finally-agree-on-something-and-its-no/

Its really bad for the crypto miners to have this kind of situation leaning towards their selling pressure. We can't really do much about this and of course as miners their probably scared about this. Some would resort to selling, but since btc plumetted, other could would probably been affected by this.

[oHnK]

Whatever the reason is, this is the right time for us to buy Bitcoin in the dip with discount price. After long time , Bitcoin journey has faced many struggles but from the first launching BTC with price $1, you can see the recent price how much percentage the growth. This is an usual thing that often happens in the market. But, I believe this will happen in the short time, and the temporary bearish like this, is the most thing which is waiting for the whales. They created the fud to can manage the market price. El savador take the momentum, they bought some BTC in the dip. So, stay calm and hold ur asset.

https://www.coindesk.com/markets/2021/12/04/bitcoin-drops-9k-in-an-hour/

[mk4]

On the top of my head:

1. some macro stuff
2. some covid stuff
3. people are over-leveraged
4. because markets do markets stuff

Pick one or a few; your guess is just as good as mine.

[smartaction]

Bitcoin damped too much today for some negative news and for price correction. But btc price will increase again in very Short time. So just buy at this time and hold it
 
https://twitter.com/nayibbukele/status/1467003967133687809?t=fwuHp2_F_hesJl8R3pgHnw&s=19
https://twitter.com/justinsuntron/status/1467033492034764802?t=r_-Fg9BnULAfy9wvhqhgnA&s=19

[Davidvictorson]

K...just woke up from hibernation. Can someone sum up the reason for this dump?

IMO Omicron Variant has been detected in at least nine U.S. States, besides US employment data release today didn't match expectations, so I supposed people are frightened. There you have two main topics. Nasdaq has fallen big yesterday, and when it falls crypto follows the track. It can take a few days to adapt then after expect a big rise. Bullish

[Mpamaegbu]

There are so many things that could've occasioned that surprised drop yesterday. While some adduce that it could be Charlie Munger's bad mouthing of Bitcoin and praising the Chinese ban of it or the US and Chinese news concerning Bitcoin or even the below table that I have shared here. Perhaps the first two fundamentals culminated in what looks like it's giving rise to what is in the picture. According to that table, the prediction is that 2013 Bitcoin price chart is likely to repeat itself in 2021. Going by that table it simply means that the month of December is going to witness a dip for Bitcoin. We saw how the other months in 2021 played out the same way as in 2013. Let's see what happens this month. But then, we shouldn't hastily forget that fundamentals have a way of corresponding with technical analysis (TA). It drives price to meet with TA and that could be what we're experiencing right now.



Original source: https://www.bitcoininsider.org/article/125425/bitcoin-btc-price-soars-past-50k-again-can-btc-break-september-jinx-post-ath

[amishmanish]

K...just woke up from hibernation. Can someone sum up the reason for this dump?

Probably due to this news:

https://www.fool.com/investing/2021/12/03/us-and-china-finally-agree-on-something-and-its-no/

--snip--

This seems to be significant though I couldn't find any sources in the article and it was just really a shameless plug for PoS coins as well as some secret trading recipe. Typical.

What happens if regulators DEICDE that all mining is essentially bad for the environment and it is not acceptable that a people's currency takes up lot of electricity? Is it even possible to outlaw something like mining by quoting high energy usage. That's be ridiculous. Wouldn't it be better to do away with Neon Signs first. Or even the constant fuel guzzling that military hardware does. Or just stop centralized Air Conditioning in huge building that house banking infrastructure.

Mining requires individuals to spend energy on the network. What if an individual is willing to do that and pay for it?

It hardly matters whether regulators agree or don't agree. Maybe we'll see a shift from the humungous 180 Exahash of network hashrate towards a more decentralized network that doesn't depend on mining farms but instead on individual home miners. This would actually be the fulfillment of the dream. If this is the reason, there is every chance that the market will bounce back.

For now, it may just be the usual pre-holiday cashing out by some of the biggest miners or individuals.

[Renampun]

K...just woke up from hibernation. Can someone sum up the reason for this dump?

what are dumps? this is just a temporary market correction, I am sure you are a beginner...

this has happened dozens of times and usually, it happens before bitcoin will make a new ATH. before 2022 we definitely see bitcoin making new ATH.

[Fortify]

There are so many things that could've occasioned that surprised drop yesterday. While some adduce that it could be Charlie Munger's bad mouthing of Bitcoin and praising the Chinese ban of it or the US and Chinese news concerning Bitcoin or even the below table that I have shared here. Perhaps the first two fundamentals culminated in what looks like it's giving rise to what is in the picture. According to that table, the prediction is that 2013 Bitcoin price chart is likely to repeat itself in 2021. Going by that table it simply means that the month of December is going to witness a dip for Bitcoin. We saw how the other months in 2021 played out the same way as in 2013. Let's see what happens this month. But then, we shouldn't hastily forget that fundamentals have a way of corresponding with technical analysis (TA). It drives price to meet with TA and that could be what we're experiencing right now.



Original source: https://www.bitcoininsider.org/article/125425/bitcoin-btc-price-soars-past-50k-again-can-btc-break-september-jinx-post-ath

If we were to take that chart as evidence then it might be a rough January as well and the correction might have only just started. You cannot point out that December is usually a red month while ignoring the following month which is - with the few data points we've got - more often a negative month. However, it should only give a general idea and who knows - Bitcoin might recover to 55k and simply sit at 54k by the end of January. If we do see more regulation from the US it could scare away a heck of a lot of people and all the big whales/funds/billionaires who went for it are likely to run for the exits. If we go by what one investment bank suggests then a fair value for it could be 35k, but they're regularly wrong on many things.

[Mpamaegbu]

~snipped~

If we were to take that chart as evidence then it might be a rough January as well and the correction might have only just started.

Truth be told, I witnessed the last post Bitcoin halving incident of 2017 and discovered how the baton of dominance was taken over by alts in January 2018 as Bitcoin got to its climax in December at that famed ATH of 19k+. I followed that table I shared here through October to November and it came true that Bitcoin was in green those two months. So, I'm inclined to believe that Bitcoin is likely (so much so) going to decline this December, and then into January to pave way for alts rally. I share in the sentiment expressed in that table.

[ivankoh]

K...just woke up from hibernation. Can someone sum up the reason for this dump?

I have scoured trying to find a few good reasons but it is clear that given the level of abuse currently available, price actions that represent such a wide breakout can be like a bull run.  However, I think it's more of a FUD pump, based on a fast race in Friday and a structural behavior in a different time zone.
The degree of a deeper bottom correction that makes the weekend candle close at which price step will really represent the market reaction and the stop structure for the rally.  I hope it can sustain at 46k6 Lol

[Poker Player]

I have been reading various threads and it does not seem to be clear that it is due to a single reason. Maybe the news posted by cryptoaddictchie is one of the reasons but it is not the only one, and the drop is considerable.

This invalidates practically all the predictions we have seen this year: S2F, Max Keiser said Bitcoin would end the year at $288K, the supercycle theory....

We are entering uncharted territory.

[rhomelmabini]

There will always be a reason even if it's a shallow one if the market likes to move on that direction, it will move. It's hard to narrow down what could be the real reason since there are lot of news happening everyday but on Dec. 3 we could narrow it down to the new variant FUD, people are expecting this level, and the recent Chinese and US disagreement that linked by @cryptoaddictchie.

There will always be several factors to consider but on the good side this might create an opportunity as well for othera to get it on a lower price. Moreover, I don't think that $69k is the top, maybe the lengthening theory was true and we could experience a Dec dip when mostly are expecting Bitcoin to perform its best.

[Gyfts]

Thought the omicron variant was responsible for the initial dip which threw a wrench at the price, then induced the current dip though the general panic I've seen over what will end up being a modest correction isn't warranted. Moving forward all it will take is announcing a new variant to send the markets tumbling, even if a new variant isn't dangerous at all. BTC's price is more complicated than a single issue, but the way all markets are reacting to Covid makes it a problem.

[_BlackStar]

Probably due to this news:

https://www.fool.com/investing/2021/12/03/us-and-china-finally-agree-on-something-and-its-no/

Its really bad for the crypto miners to have this kind of situation leaning towards their selling pressure. We can't really do much about this and of course as miners their probably scared about this. Some would resort to selling, but since btc plumetted, other could would probably been affected by this.

Although I don't have much knowledge about trading at the moment but I do know that bitcoin can be the basic factor that supports altcoin to go up and down when the price changes. Today's crypto average is down by more than 10%, and this is the real impact of the bitcoin price dump.

Once again China has made the crypto market crash, this of course will not be sustainable. China has impacted the market with its regulations wherein a ban has been imposed on all crypto-related activities ^{[investing, trading, mining, etc]} in the country. Investors' concerns clearly have a basis, they just want to secure profits before the effects of the news worsen the market situation.

[acroman08]

K...just woke up from hibernation. Can someone sum up the reason for this dump?

I was surprised too, but just like what mk4 said, your guess is just as good as mine.

a bit off-topic, but I can already feel the seasoned trolls/FUDsters coming back here on bitcointalk flooding and posting "the end of bitcoin", "the bubble has pooped" etc...

[BIT-BENDER]

I can say it's the new coronavirus variant, or some stipulations put by government like the Chinese, or an Influencers cold touch, and with a bit of research I could make up something to make it look real, that's called speculation and assumption, earlier this year I predicted the price of Bitcoin might end the year at around $40k and I think it would still, don't know why it would but it's just how the market is. It's very volatile, and this should not shock you.

[Slow death]

my theory is the following:

Two months ago people started buying a lot of bitcoin and altcoin because they had high expectations that the SEC would approve the first Bitcoin ETF spot, but these last few days they have realized they were deluding themselves because the SEC has constantly rejected Bitcoin ETF spot, for example from yesterday:

SEC rejects WisdomTree's application for spot Bitcoin ETF

[Hamphser]

K...just woke up from hibernation. Can someone sum up the reason for this dump?

Reasons? For sure its on these sentiments or fundamentals.

https://www.cnbc.com/2021/12/04/cryptocurrencies-bitcoin-and-ether-prices-drop-sharply.html
https://www.news18.com/news/business/cryptocurrency/cryptocurrency-update-bitcoin-price-today-down-by-15-ether-cardano-others-in-red-4518644.html
https://www.forbes.com/sites/billybambrough/2021/12/03/300-billion-bitcoin-and-crypto-price-crash-after-stark-fed-warning-ethereum-bnb-solana-cardano-and-xrp-in-free-fall/?sh=1444a4ab22fd

This is what makes this market so risky on which it could really drop off on a high percentage in a matter of minutes or hours.
which it is really hard to make out some analysis in regards to this.