Big surprise in mid-August - Do not panic!!!

[_BlackStar]

I've been taking a short break from my work for the past two days - and WOW was I totally shocked when I know the price of bitcoin having dropped so much the previous day. I was wondering what this was all about - but my quick search says Elon Musk seems to be one of the reasons for the decline.

So far I haven't really cared much about market volatility - but the current market conditions have reminded me of the FTX crash. Not sure when the market will recover even though I'm not too affected by the volatility. My hope is only one; avoid panic - just hold your bitcoin and accumulate.

[milewilda]

I've been taking a short break from my work for the past two days - and WOW was I totally shocked when I know the price of bitcoin having dropped so much the previous day. I was wondering what this was all about - but my quick search says Elon Musk seems to be one of the reasons for the decline.

So far I haven't really cared much about market volatility - but the current market conditions have reminded me of the FTX crash. Not sure when the market will recover even though I'm not too affected by the volatility. My hope is only one; avoid panic - just hold your bitcoin and accumulate.

You would definitely get shocked if you are anticipating $30-40k price on next month after this month of August but it seems that we are really that seeing the different thing.Its never been that something new
that there would really be some sudden news that do pop out like mushrooms on times like these and this is why dont make yourself that impulsive on selling out your bag because once you do then you would
definitely finding yourself on regretting on the end specially on the time that the market would really be making out some recovery which its always been the next thing that do happen after a dump.
Its never been that new that news like this whether positive or negative do really come out on which it would really be making out some significant impact on the overall market condition.
No one had anticipated for Elon on selling those coins which it did make out that kind of sudden decline but in overall it is really just that an ordinary day on crypto space.

[Stalker22]

~
My hope is only one; avoid panic - just hold your bitcoin and accumulate.

No panic here. It is just another shot at stacking up more BTC! I 've got some money coming my way, so I am crossing my fingers that the price keeps hanging low for another week or two.

Do we know what caused the flash crash? I read about Musk and SpaceX and its crypto holdings but that does not seem to be the cause. Some analysts mention the rising interest rates in the U.S. What does that mean? I saw that the decline also coincided with some traditional financial markets.

[ajiz138]

The news is the closest to this bitcoin decline, although there is no valid info when they sold but some data concludes there about SpaceX / Elon Musk has sold all his bitcoin.

Some say he remains a supporter of the shitcoin meme.

I stopped to look at the market from this moment considering the portfolio is also down, stay afloat and will not be defeated by panic for me this is just a moment, I believe the recovery will come later. BE PATIENT.

[_BlackStar]

-snip-

You would definitely get shocked if you are anticipating $30-40k price on next month after this month of August but it seems that we are really that seeing the different thing.

Its never been that something new that there would really be some sudden news that do pop out like mushrooms on times like these and this is why dont make yourself that impulsive on selling out your bag because once you do then you would definitely finding yourself on regretting on the end specially on the time that the market would really be making out some recovery which its always been the next thing that do happen after a dump.

I know the market will recover over time - that's why I still held the same bag even when FTX crashed before this August crash. I can expect an even bigger recovery in the following months - that's very likely.

-snip-

No panic here. It is just another shot at stacking up more BTC! I 've got some money coming my way, so I am crossing my fingers that the price keeps hanging low for another week or two.

Well - that's great. I love this approach - in fact I've been doing it almost every month since getting to know bitcoin. Not as much as others do - but it's a nice approach than keeping it in fiat.

Do we know what caused the flash crash? I read about Musk and SpaceX and its crypto holdings but that does not seem to be the cause. Some analysts mention the rising interest rates in the U.S. What does that mean? I saw that the decline also coincided with some traditional financial markets.

I don't know exactly what caused it - people have linked it to SpaceX and other, but I think the rumors did have a hand.

[Zaguru12]

I don't know exactly what caused it - people have linked it to SpaceX and other, but I think the rumors did have a hand.

It was reported that SpaceX bitcoin holdings which amounts to $373 million according to WSJ has been sold. This came after it was reported that WSJ discovered documents of SpaceX financial records. But this doesn’t add any substantial evidence because they didn’t report any information whatsoever as to when the sale was done and Musk himself didn’t disclose anything even after this news broke out. So we could simply say it is just  speculation by People.

But just like you have stated above, it is certainly a time not to panic but to even accumulate more if the funds is there. But we all know not many will heed to this mostly those who invested to get a short time gain, so holding for long will be a big challenge for them. That’s why the advice is always to invest with money that isn’t need for a long time

[serjent05]

If our goal is a long-term investment, there is no reason to panic about the current crash of BTC.  This is just temporary since sooner or later, Bitcoin will eventually recover.  We have seen lots of these kinds of scenarios where Bitcoin takes some pitfall and eventually uptrends surpassing the price before its crash.  Aside from that we still have the halving which is known a catalyst to Bitcoin bull run.  So I agree with @OP that we just keep chill and wait for these Bitcoin crashes to pass by and got fixed by the natural market course.

Maybe someone wanted to buy Bitcoin at a cheaper price the reason for this current Bitcoin crash.

[Husires]

It is assumed that this news is positive for you or does not cause shock, no one thinks of selling bitcoin at the current price unless you are forced because the price now is a good point for those who expect that the price of bitcoin will reach $ 100,000 within the next two years, you are getting cheaper coins and a better position to sell them instead of poets at 40.1k levels and hope to sell them at 80k to 100k.

The temporary decline in the price of Bitcoin is not related to the news of SpaceX, and those who hope for this do not have confirming evidence, so do not worry about why it decreased, but rather how to buy more.

[YUriy1991]

I see exactly that too. In this moment do it continues to accumulate BTC and when the time comes when Powell's speech is positively born it makes the market recover quickly and one more thing, if the BTC price tends to be stable and rises, Bitcoin Miners do not sell their assets in large quantities. I think these two items are enough to make the market push up and BTC will soon break through its resistance step by step.

[adaseb]

I think this crash has more to do with all that open interest build up from June and it was instantly wiped out during that small 5 minute period. Something like 100M liquidations took place in that 5 minute period.

Basically way too many people went long and not enough orders were able to close all those positions and it lead to massive slippage. All the perp exchanges like Binance and Bybit went hundreds of dollars below the spot price of Bitcoin.

[Don Pedro Dinero]

I've been taking a short break from my work for the past two days - and WOW was I totally shocked when I know the price of bitcoin having dropped so much the previous day. I was wondering what this was all about - but my quick search says Elon Musk seems to be one of the reasons for the decline.

I initially thought not, but it seems that the sale of bitcoin by SpaceX has affected the market downwards, although it was only after the fact that we learned of the sale. If I remember correctly, the same thing happened with Tesla. The fact is that the rate hikes are not helping either, so it seems that we are not going to be happy for a few months. If anything, we will gradually recover recent levels.

So far I haven't really cared much about market volatility <...>

Well, if we think in the long term we shouldn't mind too much, and we can buy cheaper now, but we're getting a bit tired of this, we're looking forward to the bull market.

[michellee]

We'll see what happens in the remaining days of August. Will there be an even harder drop or will this be the last low that will be the momentum for Bitcoin to begin to reverse course and climb high again?

Everything will be answered daily from what we see in the market. And when the price volatility remains as before, we must be calm to use this best moment to keep accumulating more Bitcoins. This is another discounted moment that Bitcoin is giving us so we have to make the most of it.

Don't think too much about volatility because that will be it. We must be able to hold Bitcoin until the price target we want is reached. And after that, only then can we breathe a sigh of relief that we have come out of the long wait so that we can get big profits in the future. We are also one step away from seeing a Bitcoin price reversal. So fasten your seat belt and enjoy this price change.

[livingfree]

I've been taking a short break from my work for the past two days - and WOW was I totally shocked when I know the price of bitcoin having dropped so much the previous day. I was wondering what this was all about - but my quick search says Elon Musk seems to be one of the reasons for the decline.

So far I haven't really cared much about market volatility - but the current market conditions have reminded me of the FTX crash.

Same.

I don't mind the drop that has happened, is it something new for people like us who have got plans in the long term and have been here for a long time? Not anymore.

Not sure when the market will recover even though I'm not too affected by the volatility. My hope is only one; avoid panic - just hold your bitcoin and accumulate.

We just have to let the market take care on its own and it will its own job. While us, since we've been used to it then it's either we accumulate or just do nothing and don't panic at all.

[slaman29]

I honestly don't know what the fuss is. Bitcoin flash crashes and flash rallies. Normal.

People panic in these moments, but only when it goes down. For some reason, big rally and everyone FOMOs with silly predictions and that's ok, nobody says don't panic, right OP?

And this whole week people said waiting for the dip lol

[WatChe]

Well the panic is for weak heart people (novice investors) who cant see the market bleeding. While for investors with strong nerves its a shopping time a Bitcoin is available on discounted price aka 26000$.

There are news that current dip is because of SpaceX selling its Bitcoin holdings. Whats important is that its not the first time we seeing Bitcoin dip. Bitcoin always came back strongly after such dips. Just stay strong and HODL. Bitcoin is going no where. Halving is just round the corner.

[KingsDen]

Honestly, I did not expect this price dump by this time in the market. I didn't see it coming and I believe many other persons did not also see it coming. This is one of the reasons I do not have much confidence in the technical analysis. I believe the effects we are seeing in the market today is coming from the fundamental aspect of the market.

There was when I said that I will no longer listen or follow the news of Elon Musk in the market and truly I was no longer following it, but that surely does not stop his influence in the market. He is too big and his project is too big to be ignored by the crypto-currency market. That guy is still very influential in the industry.
But as the topic creator has said, there is no need to panic unless the money needed for your daily maintenance is in Bitcoin, save that, hodl and accumulate more.

[jossiel]

I honestly don't know what the fuss is. Bitcoin flash crashes and flash rallies. Normal.

People panic in these moments, but only when it goes down. For some reason, big rally and everyone FOMOs with silly predictions and that's ok, nobody says don't panic, right OP?

And this whole week people said waiting for the dip lol

Sentiments do change depending on the current situation.

But you're right with that, if there have been bull runs then people are going to say that it's going to be down. And the same goes when the market is on high, the opposite is being said.

While we're on the top, people are saying that they will wait until it dips so they can buy more.

And when the dip comes, they don't know what to do and won't buy.

[DanWalker]

If our goal is a long-term investment, there is no reason to panic about the current crash of BTC.  This is just temporary since sooner or later, Bitcoin will eventually recover.  We have seen lots of these kinds of scenarios where Bitcoin takes some pitfall and eventually uptrends surpassing the price before its crash.  Aside from that we still have the halving which is known a catalyst to Bitcoin bull run.  So I agree with @OP that we just keep chill and wait for these Bitcoin crashes to pass by and got fixed by the natural market course.

Maybe someone wanted to buy Bitcoin at a cheaper price the reason for this current Bitcoin crash.

I'm not even surprised by this because this year bitcoin also went from $17k to $30k in a short time, so it's not too surprising that bitcoin is down more than 10% in a short time. It's all just market movement, we can't expect the market to always go up without any correction. Moreover, we all know bitcoin's nature is volatile, and a 10% drop is normal. I don't even care about the halving, because the market goes down and then inevitably goes up because that's the law of the financial markets. Our mission is to buy low and sell high, and this is the time to buy.

[yhiaali3]

It was reported that SpaceX bitcoin holdings which amounts to $373 million according to WSJ has been sold. This came after it was reported that WSJ discovered documents of SpaceX financial records. But this doesn’t add any substantial evidence because they didn’t report any information whatsoever as to when the sale was done and Musk himself didn’t disclose anything even after this news broke out. So we could simply say it is just  speculation by People.

I agree with you, I also do not think that the reason for the decline is the sale of SpaceX holdings because as you mentioned, Musk himself did not reveal anything after the spread of this news. In addition, it is unlikely that Musk would sell his Bitcoin holdings at a price lower than the purchase price, this is far from businessman thinking.

There may be more than one reason for this sudden decline, including, for example, the interest rate hike in the United States of America, as well as the news of huge sales and long liquidations in many exchanges such as Binance, Coinbase, Kraken, and others.

In any case, yes, there is no need to panic, because this is not the first time, and it is certain that Bitcoin will return to its position soon.

[Jating]

I've been taking a short break from my work for the past two days - and WOW was I totally shocked when I know the price of bitcoin having dropped so much the previous day. I was wondering what this was all about - but my quick search says Elon Musk seems to be one of the reasons for the decline.

So far I haven't really cared much about market volatility - but the current market conditions have reminded me of the FTX crash. Not sure when the market will recover even though I'm not too affected by the volatility. My hope is only one; avoid panic - just hold your bitcoin and accumulate.

Actually it was a big surprised to all of us, no doubt about it. Maybe someone has panic sells already when we saw the price going down from $29k-$25k. Doesn't matter if it comes from Elon Musk news or not though, it was a massive decline and no one can deny that.

But if you look at it, another great opportunity to enter the market again. So instead of panic selling, why not go for panic buying and then continue to accumulate. We have our own reasons to sell, but we should also take note to continue to replace what we have sold and this is the time to buy again.