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Crypto crash deepens, stocks slip

reuters.com

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Re: Crypto crash deepens, stocks slip

#281

Post by not_jd_salinger »

scsilver wrote: post #247
cromka wrote: post #106

Earlier quoted context omitted.

> Cryptocurrency market is extremely volatile. This isn't that far from normal. I think you inadvertently confirm OPs point. Cryptocurrencies with their volatility cannot replace regular currencies.

Thats the thing, they arent currencies, they are assets that can act like currencies when convenient.

> hey arent currencies, they are assets

The irony here of course is that the only way that Crypto currencies would meet any standard definition of an asset would be if they were functioning currencies.

Going with Investopedia's straightforward definition "An asset is a resource with economic value", how is a non-currency crypto coin in any way a resource or possess economic value?

Re: Crypto crash deepens, stocks slip

#282

Post by broighbrobroigh »

JoeAltmaier wrote: post #206
taylodl wrote: post #201

Earlier quoted context omitted.

> Cryptocurrency market is extremely volatile. This isn't that far from normal. If that's true then cryptocurrency is pretty much worthless to use as currency. A desired property of currency is to not have wild fluctuations in value on a weekly or monthly bases.

Exactly. Its not so much a currency as a tulip bulb, or a ponzi scheme, or something new that has the worst features of all those.

The tulip bulb mania story is an incredibly persistent but inaccurate myth.

Re: Crypto crash deepens, stocks slip

#283

Post by drcode »

Havoc wrote: post #132

I mean anyone sane was expecting a trace back at some stage after the wild couple of months we just had. Predicting crashes isn’t hard. Predicting the timing thereof on the other hand…

Exactly- I was enjoying the upward price trajectory, but the whole time I was thinking "This next bubble pop is going to be epic"

Frankly, this is an underwhelming drop so far.

Re: Crypto crash deepens, stocks slip

#284

Post by 8note »

Balantio wrote: post #103
zpeti wrote: post #20

Earlier quoted context omitted.

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. Th…

Technology can be revolutionising without investing in a very specific cryptocurrency like bitcoin. I'm betting my ass of that cryptocurrency in a different way might be the future of fiat BUT from the countries themselfs. I'm not sure why anyone in the long run would trust a system which is controlled by some totally unknown and new individuals who invested in some cryptocurrencies. There is no need at all to assume…

Countries can just use a database and do the same stuff as crypto incredibly efficiently by comparison

Re: Crypto crash deepens, stocks slip

#285

Post by mcintyre1994 »

jk7tarYZAQNpTQa wrote: post #267
mcintyre1994 wrote: post #196

Earlier quoted context omitted.

Haha, Kraken is the one I use. They've just disabled their login button with no messaging, which I guess is one way to achieve the same while avoiding a mark on their uptime graph. If I remove the `disabled` attribute then clicking the button does nothing but I get a CORS error in the console.

They're probably doing that to stop BTC from crashing even further. If BTC crashes, altcoins would probably follow (instead of taking BTC's position). Even if they don't follow, just BTC crashing would make exchanges lose the biggest chunk of their income. So shady business, but business as usual.

I agree, it's just a bit hilarious to imagine a normal stock market exchange trying to get away with things like that.

Re: Crypto crash deepens, stocks slip

#286

Post by celticninja »

uncomputation wrote: post #136
stephc_int13 wrote: post #8

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

You’re not alone. Seeing the comments flooded with “buy the dip” or, God, “diamond hands” makes me cringe every time. They get so offended when you call cryptocurrency a cult or Ponzi scheme but they make it extremely difficult not to. This is from someone with financial interest in a few coins but I’m not ready to die on any hill for bragging rights. I wish they would just admit they want capital gain and call it a…

That's probably the worst aspect of crypto communities. Early in BTC the talk was about the tech and possibilities, trading/selling goods for BTC.

Those sort of comments you mention started creeping in, but now that is the mainstay, in every individual crypto community. I dont care that they are speculation vehicles, but pretending you are changing the world just grates. And the constant calls to HODL, which used to be humourous, are now just so much propaganda.

Re: Crypto crash deepens, stocks slip

#287

Post by rawtxapp »

ourcat wrote: post #78

Surely this is also very much related to the recent announcement in China [1], banning financial institutions and payment companies from providing services related to cryptocurrencies? [1 : https://www.reuters.com/world/china/what-beijings-new-crackd... ]

Just like the last cycle when they flip flopped on banning it every other week.

Re: Crypto crash deepens, stocks slip

#288

Post by quickthrowman »

afterburner wrote: post #199
kllrnohj wrote: post #26

Earlier quoted context omitted.

Bitcoin & Ether are both down -40% from a week to a month ago. Both of those are, in theory, large enough that investors "letting off some steam" shouldn't move them that much. If $SPY dropped 40% we'd all call it a crash. This isn't that different. Also unlike the stock market, crypto is under the delusion of being a viable currency. If USD or Euro dropped even 20% we'd start questioning if it's a recession, much le…

Regular stock markets have circuit breakers in place and don't even operate 24/7. There are plenty of things that slow down price movement there. If they didn't have circuit breakers and did operate 24/7, I'd imagine we would have seen far greater record price movements over history, maybe even as bad as the absolute worst crypto swings.

Index futures trade 23/5, close enough for me to 24/7

Re: Crypto crash deepens, stocks slip

#289

Post by notyourday »

ramijames wrote: post #218
bronzeage wrote: post #192

Earlier quoted context omitted.

It's not a Ponzi scheme because in ponzi scheme you deliberately use late investors money to pay early investors. What happens in cryptocurrency is fake-exchange scheme. Tether is a fake currency printed in unlimited way by bitfinex which is also an exchange. By pretending tethers are real dollars you create the appearance of a stronger market for cryptocurrency than actually exists. It all rests on increasing the nu…

Except that during crashes like this one, what you see is everyone moving their crypto holdings to stablecoins. The intent is to wait things out and then buy back in and profit during the next cycle.

So trading pink seashells for grey seashells?

Re: Crypto crash deepens, stocks slip

#290

Post by xyzzyz »

midhhhthrow wrote: post #279
arcticbull wrote: post #217

Earlier quoted context omitted.

It's a substantially-manipulated negative-sum distributed Ponzi scheme. The most blatant example of a naked emperor I've seen in my lifetime. And it consumes the energy of Argentina to achieve as much work as a Raspberry Pi.

Where else should people invest their money? Stocks are extremely overvalued According to the buffet ratio And bonds/cash will soon be completely worthless by the time the gov and feds of the world are done with them Real estate is extremely difficult to buy and sell. Execution is hard. There’s a desperate need for a store of value, now more than ever (gov of the world are abandoning their obligation of providing a s…

Buy gold then, it is much less energy intensive to produce and hold.
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