Why is the price of BTC dropping?

[Kelvinid]

I should ask another question, why do people expect to see the bitcoin price is rising all the time? no matter if you are talking about bitcoin, the stock market, or any other market in the world, the price and price action is mostly acting the same way, you cannot expect to see the price being bullish all the time, it should take a rest and do some correction, these corrections are sometimes based on the short time frames and during these times the price won't drop too much, but some othertimes this can take sometimes and reach lower levels which is very much normal and necessary for the market.

Indeed. The volatile nature of the market hasn't changed yet which makes us not wonder why it goes like this. Market corrections, FUDs, dumps, and pumps are surely what we gonna expect in the market, however, having all of these things makes the market more attractive and profitable. Traders make a good trade in this situation, investors have the chance to buy coins in a low price. Having a situation like this never meant it was too bad also it create positivity.

[BIT-BENDER]

Why are you still asking this question. Shouldn't we have developed past this sort of questions? I mean no one would give you rock hard answer to this, speculations aren't reality, you would have great peace of mind in crypto-currency, if you just understand that the market is volatile it rises and it fall. Get re-oriented. Crypto-currency isn't an all the way up alone type of business, so while you invest always be ready for two outcomes it either rises or falls.

[Maidak]

Seeming decline in the price of Bitcoin is becoming a cause for alarm, because investors and intending ones will be skeptical, preferring to wait to see if there will be a balance.
-snip-

No economy in the world has ever had a one-way street, and every financial service has to go through two stages, upward and downward.

After a long hold, everyone fixes profits at a time when the market becomes a little volatile while traders & miners fix profits and people start panic selling which eventually leads to a bear market. However, in every case the bear market is not stable for long, hopefully soon Bitcoin will regain its former rhythm.

[lixer]

Now with regards to BTC dropping, there is only one answer for that. It isn't the events that is happening right now but its the sentiment of the investors.

Well, we all know that the events that are taking place are part of what triggers the actions that investors are taking right now. If there is an event that is taking place, and people feels that it is something that would negatively impact their economy or the market that they’re investing in, or something like that, they would all start selling their assets and converting to Fiat. So that in turn affects the market, and causes the price to start going down.

The same thing also happens in a good situation that people feel can make the price to start increasing, they all start investing again, and that makes the market to start going up in value.

[KaliLinux]

Seeming decline in the price of Bitcoin is becoming a cause for alarm, because investors and intending ones will be skeptical, preferring to wait to see if there will be a balance.
 Although, the values of risky assets like the BTC tend to take a downward slope in the wake of the Federal Reserve making policy changes to more fiscally conservative. Also, measures enacted by the federal that are designed to control inflation have had a negative impact on the price of BTC.
 More so, as Bitcoin matures and becomes more accepted and adopted, the price is increasingly correlated with the prices of traditional assets like stocks.
Though the rate at which the price of BTC is dropping, financial analyst and professional, Ric Edelman has urged investors to stay calm and not be in a hurry to sell of their BTC, assuring that there is a favorable look on the Bitcoin in the long term.
He went further to state that this is thr fifth time BTC price has fallen by 50% or more since it's inception in 2009.
Bitcoin is currently trading at $37,000 down approximately 45% from its high as posted in Nov. 2021. Are there provisions put in place to curtail this downward spiral? https://www.investopedia.com/why-is-bitcoin-price-dropping-5216985

What do you mean by "Are there provisions put in place to curtail this downward spiral" is Bitcoin some Government-issued assets that should be rescued by some policies to boost up the price? and this is the nature of the market. You should know that since the inception of Bitcoin back in 2009, it has actually been on a Bull run and still is if you look at it or haven't you seen the chart? 

[ropyu1978]

If you ask why the price of btc went down, and what caused the price of btc to go down, personally I certainly won't be able to answer your question in detail, but if we look at the facts, yes, I can give an explanation, maybe because of the market, maybe because of the influence of billionaires , but an answer like that is not concrete, but I have a principle I will never be afraid of a decrease in the price of bitcoin, because I invested in bitcoin for a long time, so I just relax.

[sarmrakib]

I should ask another question, why do people expect to see the bitcoin price is rising all the time? no matter if you are talking about bitcoin, the stock market, or any other market in the world, the price and price action is mostly acting the same way, you cannot expect to see the price being bullish all the time, it should take a rest and do some correction, these corrections are sometimes based on the short time frames and during these times the price won't drop too much, but some othertimes this can take sometimes and reach lower levels which is very much normal and necessary for the market.

Its happen when someone become much greedy and wanna get profit on each investment which is never possible in any trading platform .Its a normal behave of the market to go through on ups and downs .Crypto is a high volatile market so that you can easily see the recover progress on here .On the other hand if it falls every time how could it hit on ATH .So its not dropping only ,Its increase as well .I am totally agree with you that it is very much normal to drop and it is also very much normal to go up .A good trader never ask about to drop always cause he knows its a normal process .So that we have to aware on this that it will fall and also it will recover for sure .

[Webetcoins]

bitcoin is growing compare to when the bitcoin price was $0.008 and people were very happy, that the price is good for people to make something reasonable from their week or monthly investment. Bitcoin price has dropped to $40k few days ago that is making people to panic because of the slow pumping they are receiving from the bitcoin exchange market which is not giving them hope if the price will reach $100k before the end of next month.
Bitcoin price is about to hit $100k according to some researchers who took their time to go round the market to see the signs the crypto market is developing .

If you are in bitcoin to make sure that you earn as much as the people who bought at 0.008, then you should not invest into bitcoin. If you are investing into bitcoin because you want to see it at 100k by the end of the month, then you should not be investing. Real investors know that yearly 20% or more per year for 20 years means wealth, and that is something quite easy for bitcoin overall in the long run.

Do you really think that it will not average 20% or more on average (not every year, just average) for the next 20 years? Warren Buffet turned a few million dollars into richest man in the world with 20% averages. So you should not be really asking to get rich over night or in a month.

[Hasansat]

 think those who would worried and sell at the current price of Bitcoin would be wrong. My personal guess is that Bitcoin will soon return to its former state. Don't worry, wait patiently. Presumably, Bitcoin will give a lot in the future.

[EdenHazard]

Seeming decline in the price of Bitcoin is becoming a cause for alarm, because investors and intending ones will be skeptical, preferring to wait to see if there will be a balance.
 Although, the values of risky assets like the BTC tend to take a downward slope in the wake of the Federal Reserve making policy changes to more fiscally conservative. Also, measures enacted by the federal that are designed to control inflation have had a negative impact on the price of BTC.
 More so, as Bitcoin matures and becomes more accepted and adopted, the price is increasingly correlated with the prices of traditional assets like stocks.
Though the rate at which the price of BTC is dropping, financial analyst and professional, Ric Edelman has urged investors to stay calm and not be in a hurry to sell of their BTC, assuring that there is a favorable look on the Bitcoin in the long term.
He went further to state that this is thr fifth time BTC price has fallen by 50% or more since it's inception in 2009.
Bitcoin is currently trading at $37,000 down approximately 45% from its high as posted in Nov. 2021. Are there provisions put in place to curtail this downward spiral? https://www.investopedia.com/why-is-bitcoin-price-dropping-5216985

What do you mean by "Are there provisions put in place to curtail this downward spiral" is Bitcoin some Government-issued assets that should be rescued by some policies to boost up the price? and this is the nature of the market. You should know that since the inception of Bitcoin back in 2009, it has actually been on a Bull run and still is if you look at it or haven't you seen the chart? 

Not directly , but when there is a policy or certain rules set in a country where crypto investor , crypto business giant come from and growing really fast plus that rules/policies does really support the crypto ecosystem then i think it is... has a significant impact.

For instance

'President Joe Biden on Wednesday signed an executive order directing agencies across the federal government to coordinate efforts to regulate cryptocurrencies and other digital assets.'

This trigger uncertainity , whether should you sell it for a while or bag more before it's too late?
We are in that kind phase currently so yeah that's why it gets dropping.

[Abiky]

Why are you still asking this question. Shouldn't we have developed past this sort of questions? I mean no one would give you rock hard answer to this, speculations aren't reality, you would have great peace of mind in crypto-currency, if you just understand that the market is volatile it rises and it fall. Get re-oriented. Crypto-currency isn't an all the way up alone type of business, so while you invest always be ready for two outcomes it either rises or falls.

The OP seems to have little understanding of how crypto works. The market is usually driven by speculation, so anything big or small can have a profound effect over crypto prices. I believe that the reason BTC's price is dropping is because of the on-going COVID-19 pandemic and Russia-Ukraine crisis. Investors are fearful these days, cashing out stocks and crypto in order to survive in these uncertain times. Hype has faded temporarily as people are focused on other mainstream events.

Instead of complaining, I suggest the OP to buy BTC while it's still "cheap". The world's largest-cryptocurrency by market cap will be valued at a higher price in the future with every block reward halving. Subsequent network upgrades focused on scalability and privacy will only make Bitcoin bigger, better, and stronger than ever. Bitcoin may never go back to these prices as it becomes "scarcer" over time. Newbies only want to get rich quick, so the moment they see prices falling is the moment they think it's the end of the world. A pity since they'll be missing an opportunity of a lifetime towards achieving massive wealth. Remember, patience is the key here. As long as you're patient, you'll be able to achieve great results in the future. Just my opinion

[South Park]

Why are you still asking this question. Shouldn't we have developed past this sort of questions? I mean no one would give you rock hard answer to this, speculations aren't reality, you would have great peace of mind in crypto-currency, if you just understand that the market is volatile it rises and it fall. Get re-oriented. Crypto-currency isn't an all the way up alone type of business, so while you invest always be ready for two outcomes it either rises or falls.

What happens is that even if there is a lot of people that have moved forward and understood the nature of the markets as their experience as traders or investors went up, not everyone has the same level of experience, every month a lot of newbies join this market and this forum and for the most part they do not understand how the markets work at all, which is why we see so many newbies asking the same questions over and over again, despite those questions having been answered many times before.

[uneng]

Seeming decline in the price of Bitcoin is becoming a cause for alarm, because investors and intending ones will be skeptical, preferring to wait to see if there will be a balance.

Yes, investors look pessimistic. Market's fluctuations show this with its very low pumps that immediately are reverted once they happen. But at least bitcoin is somehow stable...

Although, the values of risky assets like the BTC tend to take a downward slope in the wake of the Federal Reserve making policy changes to more fiscally conservative. Also, measures enacted by the federal that are designed to control inflation have had a negative impact on the price of BTC.

That is it. Bitcoin is very likely suffering for this reason. It's the possibility making more sense for me. Money goes where the opportunity looks more interesting for the investor, which can be found by calculating the correct proportion between risk and profitability.

Though the rate at which the price of BTC is dropping, financial analyst and professional, Ric Edelman has urged investors to stay calm and not be in a hurry to sell of their BTC, assuring that there is a favorable look on the Bitcoin in the long term.
He went further to state that this is thr fifth time BTC price has fallen by 50% or more since it's inception in 2009.

A good advice, indeed. Bitcoin is a long term invesment, moreover investors shouldn't fear the future or panic sell their coins at this moment. Let's keep in mind crypto market works on its own time, that is different from the time we, investors, would like to see bitcoin's marketcap skyrocketing.

[minersday]

The price of Bitcoin can be attributed to several things happening at the moment. Take the war between Ukraine and Russia which has led to highly fluctuating market trends globally. In addition, the bull run seems to be over so market is currently having a general correction as expected. Hopefully we can bounce back pretty hard after June.

[AmoreJaz]

The price of Bitcoin can be attributed to several things happening at the moment. Take the war between Ukraine and Russia which has led to highly fluctuating market trends globally. In addition, the bull run seems to be over so market is currently having a general correction as expected. Hopefully we can bounce back pretty hard after June.

that's the major event that we are seeing right now as a contributor on what's happening in the market. but there are actually other factors that are influencing this movement. the growing adoption of users and merchants is also one. how about countries that are going positive towards crypto? so what am saying here is that we can't really attribute the market performance in only one event or factor here, as you mentioned also, it is combination of several events and we can't quantify the degree of their contribution to this market.

[Sled]

@OP, that market is positively moving up but never ask why as the answer could be the same. Nobody knows exactly.

There is no singular reason why bitcoin is in the dip. The market is unpredictable because there are simply way too many factors to ever take into consideration for a single human brain. This is why no one in the world can give you the reason behind btc’s price. We need to realize that this is how markets work. What goes up comes down and vice versa.

We can just blame the whales either and not even because of the FUD.

We ended up just speculating and guessing why it happens, honestly as Bitcoin will be in the zigzag motion even before and we can have this scenario forever. So, the best thing we do is to get calm as this is very understandable, and this is not surprising, it drops today but it pumps back again in a few days.

[LUCKMCFLY]

The price of Bitcoin can be attributed to several things happening at the moment. Take the war between Ukraine and Russia which has led to highly fluctuating market trends globally. In addition, the bull run seems to be over so market is currently having a general correction as expected. Hopefully we can bounce back pretty hard after June.

that's the major event that we are seeing right now as a contributor on what's happening in the market. but there are actually other factors that are influencing this movement. the growing adoption of users and merchants is also one. how about countries that are going positive towards crypto? so what am saying here is that we can't really attribute the market performance in only one event or factor here, as you mentioned also, it is combination of several events and we can't quantify the degree of their contribution to this market.

Yes, in fact the world event that is taking place for now between Russia and Ukraine is what they call in the books as a "Fundamental" and it is a double-edged sword, because if the war escalates it will start and investors will panic and something that I have always known is that in every speculative market when fundamentals occur, emotions are activated and emotions are the reason why speculative markets move, emotions and whales responding to the Law of Supply and Demand, in I am not operating in my case because I am not sure what could happen, so it is a total risk for me, I prefer to be in Hodl mode.

[fuguebtc]

There is no market that only increases without decreasing, it is like a country's economy will have growth and recession depending on a lot of objective factors.
Market correction is no surprise, everything goes as predicted bitcoin hits ATH in 2021 then falls is evident.
Moreover, bitcoin is a long-term investment you should not be too worried when its price drops in the short term. Look at the future, bitcoin is brighter than what you see now.

[virasog]

There is no market that only increases without decreasing, it is like a country's economy will have growth and recession depending on a lot of objective factors.
Market correction is no surprise, everything goes as predicted bitcoin hits ATH in 2021 then falls is evident.
Moreover, bitcoin is a long-term investment you should not be too worried when its price drops in the short term. Look at the future, bitcoin is brighter than what you see now.

To proof this point to the OP and newbie traders, bitcoin was at low price when this topic was created and the people sentiments were down as people were anticipating more crash in bitcoins. But now after two week, bitcoin prices are quite high and are sustaining near the resistance which shows that market could take a reversal from here.
This shows that bitcoin market never moves in a straight line, it may dump along the way. We never know, we might see another drop in bitcoin prices before reaching 50K.

[South Park]

There is no singular reason why bitcoin is in the dip. The market is unpredictable because there are simply way too many factors to ever take into consideration for a single human brain. This is why no one in the world can give you the reason behind btc’s price. We need to realize that this is how markets work. What goes up comes down and vice versa.

This is why trading is so difficult to master, after all we could say that all the movements in the price of bitcoin can be explained by the supply and demand, and while simplistic it is the truth, however when we consider that both of those concepts are the aggregate of millions of people moving their capital under their own understanding of the market, then it is easy to see how it is impossible to create a system that is 100% accurate and to give more specific reasons about why the market moves the way it does.