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Author Topic: Why is the price of BTC dropping?  (Read 548 times)
Majestic-milf (OP)
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March 10, 2022, 09:06:31 AM
 #1

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

 
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March 10, 2022, 09:18:36 AM
 #2

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

There was a predicted bear market around this time and a price correction, so it's not really unexpected, but the reason why BTC price is dropping is that a myriad of reasons can't cust be boiled down to a couple. The economy is a complex thing and BTC is not immune to any of them. Sure, some things have more impact than others, but everything adds up in the end.

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March 10, 2022, 09:34:07 AM
 #3

The answer is: no-one knows.
Or in other words: there is no one single reason. You may easily explain why price of oil goes up or down, or why price of shares of company X goes down or up. BTC is closer to FOREX trading - and there sometimes miracles happens.

On the other hand - sometimes it is hard to separate reality from wishful thinking. Maybe $40k is the 'correct' price for a long-term? I do not know.
People like to say "I told you" when they see they were right, but not many people says "I was wrong".
Talking about Edelman, we may see his predictions for 2021:
https://www.thinkadvisor.com/2021/01/07/ric-edelman-12-predictions-for-bitcoin-other-cryptos-in-2021/
and for 2022:
https://www.businesswire.com/news/home/20211228005020/en/Ric-Edelman-Reveals-His-22-Predictions-for-2022

As you see, there is nothing which would require a crystal ball or 30 years of experience...
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March 10, 2022, 09:35:24 AM
 #4

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.
If you are a long term holders, bitcoin id not a risky asset, bitcoin is only risky for traders, most especially the day traders and people that prefer scalp trading which are the riskiest.

Be it anything happening to bitcoin, so far the adoption continuea, the price will still later increase and reach all-time-high, but it can take many months or years before it will happen but better than holding fiat in bank for the long period of time.

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March 10, 2022, 10:07:09 AM
 #5

Bitcoin's price go up and down literally all the time that it's boggles my mind why people always sort of gets shocked quite a bit when volatile moves happen. tl;dr bitcoin is a very volatile asset and will remain volatile for a while, and the reason for it's price movements isn't so easy to find unlike with high-cap stocks.

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March 10, 2022, 10:31:24 AM
 #6

To discover, you should open a chart with weekly candle then you will see how long Bitcoin went through with its bullish mode after breaking $20k. So think of it yourself, is it abnormal if Bitcoin has a long correction after that rise?

If your answer is: Yes, it is very reasonable correction. It is what we have been witnessing since late of 2021. Some indicators reveal that Bitcoin has formed its bottom and just need time to break out. We don't know when it will start rising again but history says April to May are very good months for Bitcoin.
https://cryptorank.io/price/bitcoin

 
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March 10, 2022, 10:34:25 AM
 #7

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

Be calm, everything normal, nothing to worry about, the triggers are many, I remind you that it cannot be just two or three statements or movements that can cause bitcoin to collapse, wait for the long term, don't be in a hurry! If you need liquidity it's different, but if you don't need it, wait, don't panic from market-to-market news!

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March 10, 2022, 10:45:21 AM
 #8

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

Are you totally new? If yes you didn't see the worse yet and this current drop is just a little bit drop happen in history so what I can suggest to you is research all the history about bitcoin so that you will not get worried on small movements happen on it. Also price drop is normal since this is so normal on bitcoin and better chill out since the reason for this is the existing war happening in Ukraine which affect a lot in economy also in cryptocurrency.

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March 10, 2022, 12:47:22 PM
 #9

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
The price is not dropping, IMO, it's just fluctuating. It's $39k right now, while it was $42k yesterday and $39k the day before. It's going up and down, without a clear trend, so there's no need to discuss why it's dropping. I would describe this situation as stable, to be honest, because the price remains around $40k (sometimes more, sometimes less) since the middle of January, and if there are big fluctuations, they probably indicate that there's a lot of movement of the market (panic selling fighting FOMO day and night), but there's no reason to believe that anything bad is going to happen to it.

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March 10, 2022, 01:13:22 PM
 #10

I wouldn't worry so much about the current bitcoin price. Right now BTC is at 39,000 USD, which seems quite healthy in my opinion given the current state of the world. You are comparing the price to the ATHs from last year, but the world has changed since. We are facing a major conflict with the Russia-Ukraine war, also inflation rates are rising compared to last year. Even before the Ukraine war the bitcoin price was lower than it is today. No reason to panic as long bitcoins manages to withstand all that downward pressure. In Europe for example the Russia sanctions are going to hurt the economies. Already now we see a double of the fuel prices in two weeks. This is going to increase inflation even more. It's just a matter for the world to go back to normality and for bitcoins to rise again.
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March 10, 2022, 01:39:02 PM
 #11

As always bitcoin is unpredictable and very volatile that's why we cannot predict what will be the price tomorrow. I believed bear market is still very strong and accompanied with ongoing conflict of russia and ukraine. Still, i have belief that bitcoin clan go higher once war is over and more good news flowing in that will help market to recover fully.

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March 10, 2022, 02:17:30 PM
 #12

I wouldn't worry so much about the current bitcoin price. Right now BTC is at 39,000 USD, which seems quite healthy in my opinion given the current state of the world. You are comparing the price to the ATHs from last year, but the world has changed since. We are facing a major conflict with the Russia-Ukraine war, also inflation rates are rising compared to last year. Even before the Ukraine war the bitcoin price was lower than it is today. No reason to panic as long bitcoins manages to withstand all that downward pressure. In Europe for example the Russia sanctions are going to hurt the economies. Already now we see a double of the fuel prices in two weeks. This is going to increase inflation even more. It's just a matter for the world to go back to normality and for bitcoins to rise again.

Me too because if you're already been a part of the crypto community even if let's say even just a year you may already know the most thing that really affects the bitcoin price and that's the volatility of the market. I am not worried about the price correction or even a bearish trend because I believe and I am very optimistic that the price may still get up and will be going to hit another ATH, I don't know when but fortunately it will happen. And at this kind of situation is a trader and investor, we will being challenged by our patience or if we are long-term or short-term investors.
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March 10, 2022, 04:37:41 PM
 #13

It is normal for the price of Bitcoin to go up and down. Because Bitcoin is the most popular and expensive coin in the cryptocurrency world. If any coin is in hype, it goes down again. Bitcoin has a lot of hype and will rise further in the future. Maybe the war between Russia and Ukraine has had some effect at the moment. So the price of Bitcoin is falling.
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March 10, 2022, 07:23:39 PM
 #14

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.
If you zoomed out of the chart to a couple of months or years, then you would not notice any cause for alarm, rather an asset which has been steadily appreciating over time.
Intending investors should not focus on the last 7 days chart when choosing an investment, or they would likely be making the mistake of buying shit coins which were pumped and are going to dump. Proper research involves studying the fundamentals and also the technical aspects of the market.

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?
This is a decentralized network and there is no system which regulates the price.

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March 10, 2022, 07:34:35 PM
 #15

there are already many people asking this same question and in my opinion the cryptocurrency market is not being affected, people are worried about saving their lives and are not thinking about risky investments, maybe this will make the price of bitcoin stagnant in this one $39000 - $44000 zone, but this is a temporary thing although we cannot say about other assets that will take a long time to recover in price. once some agreement is reached in this conflict and the war is over, people will gradually recover and will think about high risk investments like bitcoin

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March 10, 2022, 07:55:15 PM
 #16

bitcoin is falling today, it will rise tomorrow, if we take the dynamics of the growth and fall of bitcoin over 10 years, then everything suggests that bitcoin is growing, these are all corrections in the short term, sooner or later bitcoin will win back and return to its bullish values, the main thing is not to panic ahead of time.
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March 10, 2022, 08:15:15 PM
 #17

When price goes up too quickly, everyone starts to celebrate. And when the price drops, everybody wants to know what's the reason why.

Well, no one has the right information why the market is dropping but you can have that speculation that it's all due to the supply and demand plus the news that are rotating the whole market.

And recently, there was a quick price increase for bitcoin so this was expected that there's a reversal too.

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March 10, 2022, 09:00:42 PM
 #18

snip
There was a predicted bear market around this time and a price correction, so it's not really unexpected, but the reason why BTC price is dropping is that a myriad of reasons can't cust be boiled down to a couple. The economy is a complex thing and BTC is not immune to any of them. Sure, some things have more impact than others, but everything adds up in the end.
People who don't understand economics will find it difficult to understand what's going on in the market and make the price of BTC go down.  bitcoin is a very volatile asset, it is not possible to stay at a high price forever, this happens because the market has high buy-sell transactions. 

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March 10, 2022, 09:08:16 PM
 #19

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

There are many people who are asking the same question from the past. There are certain factors that leads to BTC going on a correction after a brief pump. This is all about market manipulation and the latest trends nowadays are also one of the possible reasons as well despite no guarantees. You can't predict the price whether if it's going up or down without warning.
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March 10, 2022, 09:30:39 PM
 #20

<...............>

Though I don't know the exact reason, and I think no one knows the exact reason. But this feels like a market correction to me. Now let me come to your point. In my opinion, there might be two reasons for this dump. The first reason is that a Ukrainian investor, and the second is that an oil investor.

Ukrain Investors: We know the present situation in Ukraine. We also know how many investors are from Ukraine in bitcoin. And because of the present situation, lots of people leave Ukraine and can't access their bank accounts either. In that case, lots of crypto holders might be selling their holdings for life. What is needed, man, and it's fair for them.
 
OIL INVESTORS: Look, there are lots of investors who are actually companies, and there are lots of expert traders who are familiar with the market situation. And they always research for profit, and we know how much oil prices have increased. So it is very possible that some people are selling crypto to invest in oil so that they can generate profit from that area too.
 
Well, this is not the exact reason. This is just my speculation. Others' opinions might be different.
 
 
 
 
 
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