Crypto crash deepens, stocks slip • Hacker News Board

Re: Crypto crash deepens, stocks slip

#11

Post by jmacd » Wed, May 19, 2021, 1:49 PM UTC

As an outside observer, who has no crypto holdings at all, but is very deeply invested in the public stock market with a heavy weight on technology stocks... this doesn't look like a crash to me at all. It just looks like some steam being let off and old investors cash out and new investors get more comfortable with how much and where to invest.

I consider crypto currency as it is to be an elaborate Ponzi scheme (personal view), but even with that cynicism nothing about this dip looks unhealthy to me. (I have views on what ultimately happens, but I will hold back on that)

Re: Crypto crash deepens, stocks slip

#12

Post by shiado » Wed, May 19, 2021, 1:49 PM UTC

Looks like the liquidations are stopping. Funding rates are finally negative

https://www.bybt.com/FundingRate

I would expect the exchanges to have 'problems' while the big boys load back up for cheap.

BIG shorts are closing.

https://www.tradingview.com/symbols/BTCUSDSHORTS/

Re: Crypto crash deepens, stocks slip

#13

Post by fartcannon » Wed, May 19, 2021, 1:50 PM UTC

stephc_int13 wrote: post #8

I don't know why, it is probably highly irrational, but I always rejoice when the Bitcoin crashes.

Thats kind of sick? What an absolutely repugnant thing to do. Do you rejoice at war and animal abuse too?

Re: Crypto crash deepens, stocks slip

#14

Post by Theodores » Wed, May 19, 2021, 1:51 PM UTC

It is on its way back up. Remember to buy the dip, folks!

Also interesting how BTC is now a store of wealth, not a currency. They should just call it a religion.

Re: Crypto crash deepens, stocks slip

#15

Post by thecopy » Wed, May 19, 2021, 1:51 PM UTC

fartcannon wrote: post #13

stephc_int13 wrote: post #8

I don't know why, it is probably highly irrational, but I always rejoice when the Bitcoin crashes.

Thats kind of sick? What an absolutely repugnant thing to do. Do you rejoice at war and animal abuse too?

Care to elaborate?

Re: Crypto crash deepens, stocks slip

#16

Post by sva_ » Wed, May 19, 2021, 1:51 PM UTC

tiborsaas wrote: post #7

sva_ wrote: post #2

Haha, less than 24h after that article that hit the frontpage yesterday. https://etherscan.io/blocks The blocks look absolutely insane right now

Care to explain what's insane looking to you?

To make a transaction, you have to spend a certain amount of gas. This will then be multiplied by the constant cost of the transaction. But gas fluctuates based on demand. If many people want to make a quick transaction, gas will go up as the amount of transactions per block is limited. Avg gas was around 70 gwei yesterday. Currently there's tons of blocks averaging between 1000 - 1500 gwei, which is a lot.

Re: Crypto crash deepens, stocks slip

#17

Post by Stubb » Wed, May 19, 2021, 1:51 PM UTC

jmacd wrote: post #11

As an outside observer, who has no crypto holdings at all, but is very deeply invested in the public stock market with a heavy weight on technology stocks... this doesn't look like a crash to me at all. It just looks like some steam being let off and old investors cash out and new investors get more comfortable with how much and where to invest. I consider crypto currency as it is to be an elaborate Ponzi scheme (per…

Crypto isn't a Ponzi scheme. A Ponzi scheme is form of fraud where funds from recent investors are used to pay (fictitious) profits to earlier investors. Say the ringleader claims a 10% profit. An early investor had deposited $100 and wants their $100. The ringleader had blown that investor's $100 on coke and hookers and gives him $110 from new investors.

Crypto is more accurately a pyramid scheme. But then so are precious metals and fiat currency.

Re: Crypto crash deepens, stocks slip

#18

Post by cheaprentalyeti » Wed, May 19, 2021, 1:52 PM UTC

sulunia wrote: post #3

I just wanted to be able to buy a GPU without paying exorbitant prices because miners.

I only say this about 1% of the time I read stuff like this, and it's still too much:

_Bitcoin doesn't use GPUs to mine with_.

It's been custom ASICs for the last eight years or so. I think.

Re: Crypto crash deepens, stocks slip

#19

Post by randywaterhouse » Wed, May 19, 2021, 1:52 PM UTC

And, as usual, Coinbase is also down at the moment [0]. Don't have a super-strong opinion on the crash itself (or whether we should call it a crash given crypto's volatility)--but it does seem peculiar that the exchanges in the space tend to drop when things get rough.

[0] https://status.coinbase.com as of 13:51 UTC status was "intermittent downtime" and "delayed withdrawals"

Re: Crypto crash deepens, stocks slip

#20

Post by zpeti » Wed, May 19, 2021, 1:53 PM UTC

jmacd wrote: post #11

As an outside observer, who has no crypto holdings at all, but is very deeply invested in the public stock market with a heavy weight on technology stocks... this doesn't look like a crash to me at all. It just looks like some steam being let off and old investors cash out and new investors get more comfortable with how much and where to invest. I consider crypto currency as it is to be an elaborate Ponzi scheme (per…

My personal take:

There might well be ponzi schemes on top of the bitcoin infrastructure, but the technology behind bitcoin is not a ponzi scheme.

It might well be that a lot of people are crazed over it and want to buy bitcoin and push up the price, but that's because there is something here with cryptocurrency. It definitely is a new way of accounting, and it could potentially be a hedge against the fiat system.

There's a lot of IFs, but I still think it is revolutionary technology that may well revolutionise things in 5-10 or 50 years, who knows.