Bitcoins stock market

The history of markets, though, is littered with bubbles ending in crashes, from Dutch tulip bulbs in the 1630s and the South Sea bubble in 1720, to countless stock market and real estate bubbles. Thanksgiving weekend, taking the total to around 13. See also: The Birth of Stock Exchanges. Wall Street and European equities traded mostly higher on Wednesday, Nov. So, bitcoin is essentially digital gold for another generation. Nine years in, governments such as the US, Japan, South Korea, and Russia could have banned bitcoin.

His business also set up its own cryptocurrency called Biocoin, which is used by farmers in their cooperative to trade in goods and equipment. No one can say with certainty that bitcoin will crash. It could become the new gold. But 5 percent seems like an awfully small number.

For context, stocks as an investment vehicle have been around for more than 400 years, while bitcoins are less than a decade old. That velocity is crazy. Owner Boris Akimov said accepting bitcoin is a marketing initiative at the moment, and a way to help the company better understand cryptocurrencies. Nasdaq exchange, created a buzz in the late 1990s that led to excessive speculation. Should the valuation of companies in the Bitcoin ecosystem be correlated with the market cap value of the Bitcoin currency?

As for it being indirectly related, I would say that BTC is considered to many as a hedge against currencies, similar to that of gold. Therefore, if the demand, recognition and acceptance of BTC becomes much larger, there is a chance it would be in a similar position to that of gold and the stock market. To me, that is as close as it gets to being directly related to the stock market. The SEC has until 11th March 2017 to decide if they would approve the ETF to be listed on the BATS exchange.

Therefore, the bull run of both BTC and the stock market might seem to have a connection, but I would classify it as coincidental. BTC and the stock market. IF and only IF the ETF is being approved by the SEC, it would create more interest and understanding around BTC alongside a high probability of soaring BTC prices. These are the investors who will pay for the old investors. Lots more will liquidate at 10k, then 20k, etc.

The previous run represents previous buying, and thus, potential selling. It keeps happening to HODLers at every bottom low. Why do I tell you this? Especially over the next few years. That extreme move upwards will cause a societal FOMO.

Any way you look at it we are looking at a wild ride! Great to have you on board with your savvy experience. It actually makes me enjoy the beers more! People were so in shock from the tech bubble that a whole recovery happened and left that they never noticed the recovery. You are worth it. This was caused by the CME futures in 1982.

It is removing the mostly invisible parasitic influence of the central banks. For those who are young and have said that they are going to cash out at certain milestones, I suggest you do your best to continue to invest. Someone is buying and selling on the way down. This will be different.

Bitcoin it is not an US niche. Lambos to ski behind. That said, it also ensures spectacular gains on the way up. How do you recognize the crash? Work to surround yourself with people that lift you up, as you do the same for them.

For example, I maintain buildings. What if the system is fucked? However, you do not justify why would this be the case.

Bitcoin blockchain is one of the most anti fragile structures on earth. This is a great point. Buying things directly with BTC without the need to go through fiat. You have one life.

Hearts will be broken. In a bull market, no one wants to keep half their cash on the sideline waiting for a bear market because it feels like you are missing out. If everyone things its gonna crash after a certain period of time of futures being available, then people will sell thinking they are getting out at the top, and that will itself create the necessary conditions for a crash. It is an asset, not a currency. When you try to hire people to do a job and they complain that they would like to but they have these six jobs to finish first, that is when we are in recovery.

The closer it gets, the stronger the pull. If you can afford to do it at a young age, all the better. commenting so I can come back and read this when I wake up tomorrow morning. Imagine you go to your neighbour who wants BTC.

OP, but I have similar feelings. The only prophecy that I trust, is that a block halving will occur in 2020. Trader: Well, sell it to your machine then. WELL, that is the one thing that makes a company worth investing in! So if an average bitcoiner hodls 5 btc and the average home price is 300k, the top will be around 60k. Well done, I say.

Timing the market is damn near impossible. BTC when prices started to rise last year. The danger is that the system breaks.

It will have little to no affect on the price, apart from those buying like OP, because they think something will happen that will not. Unlike stocks we are buying this supply directly and hodling. It will feel frightening. The best example of how a frenzy looks is what happened to BCH.

The difference between the tech bubble and BC is that the tech bubble was built on almost no earnings, hell, sometimes even no revenue. Remember when bitcoin lost a billion dollars in value? This is my thought train too.

Live life the way you want to. WE ARE HERE TO ASSIMILATE ALL FIAT. Then I wait for disaster to strike. You will also likely not sell the top. If you see the order book has a gigantic amount of shorts coming due soon, you realize there may be selling pressure and so you setup a large amount of stop orders under the current price to soak up anyone trying to flood the market with cheap bitcoin. USD spot exchange has 3x leverage on its books.

The patterns are getting easier though. While this is true, a modest increase in Wall Street exposure would enhance the ups and downs substantially. It took 5 years to develop the buy side enough to create the conditions for panic. So how are futures traders gonna impact the bitcoin value then?

Psychology is a bitch harsh mistress. Bitcoin in a few years than the stock market has seen in its entire history. Bitcoin Holdings, you will be regretting it, so keep some in play.

Basically, go balls deep but remember to pull out before you cum. No one knows when the bottom is. Living free for the next 20 years only paying insurance and maintenance would be amazing. Even with modest Wall Street exposure this will enhance greatly.

You must be new to crypto. BTC is not difficult going to be over 12000 by then! Bitcoin has crashed several times already.

Sure, it could go to hundreds of thousands, but it could also be edged out by better tech. He kept saying it would be back. This story is the fundamental story about adding leverage to a new underlying asset. In some cases, the media is still running with that old recession story after the economic cycle has run its course again. He gets this contract and pays 100 bucks for this right.

They try to drag them back to the bucket. The current top derivatives exchange has 100x leverage and has been consistently doing a billion dollars a day notional in volume. Alternately, anyone who wants to try this same outline on the short side must already have bitcoin to sell, which is actually harder than buying. First of all, not everyone has recovered from the 2006 crash. You are part of the solution.

There are plenty of Microsoft millionaires out there and actually I know one. Especially when that bull runs for 7 years. See the previous post I made to you in this thread as well.

If it happens, like one crab tries to gets out of the bucket to freedom, all the other crabs tear them down. They are banks, not property managers. Nassim taleb and black swans.

The cme will soon find out that the only way it can go is up. The time to go in is when EVERY single person has lost confidence. Setup a weekly buy with an amount you can afford to do and forget about it for the next couple years. Thanks for the idea and knowledge sharing.

For bitcoin to lose most of its value permanently, the reputation of bitcoin has to deteriorate. Seller: I need to sell x shares of IBM. The core of BTC is that it cannot be manipulated.

Shit is not easy and you have to be willing to invest 350k into bitcoin during the panic. We are currently in recovery. And ride the train. Reading about previous crashes makes me feel so much better.

What a pleasure to read insightful, helpful info shared and commented on by everyone giving their perspective without malice or ridicule. Bitcoin prices in the near future. Are you going to exit all at once or staggered as the price climbs? The event horizon will start end of 2019. Do people see holding even this amount as being useful, is there that kind of potential?

Coinbase will do an automatic buy if you can use them. You are forgetting that bitcoin doesnt stay static. There were lots of crashes before 1929, both in America and globally. Such manipulation is forbidden in regulated financial markets afaik.

These guys are panicking, but honestly I fear this much less than the stock market. And not everyone gets it right. OTHERS CLICKED THIS LINK to send a PM to also be reminded and to reduce spam. On the way down. If all your fiat assets are not in crypto.

Bitcoin is helping to level the playing field wrt that. Though if I felt I could call the first massive mainstream top I would. This correction will hit closer to home because people will have built their lives around the gains they received over the years. The rest of what you said sounds like I could have written it myself.

Think twice before you post your blabble on reddit. That is a huge loss of money in 18 months. New tech that changes the world of exchange. BTC is enough to pay off my mortgage, I will sell half and pay off my mortgage.

Bitcoin is still surging, keep as much in as you can and if it fails move on to the next crypto or the best investment you can find. Keep calm, and carry on. This is a solid answer. Going back to fiat economy. At the height of the real estate market in the US, I had committed to building a big house. You also have to time the sell off at the ATH then but at the low point in the sell off then sell out once it 3x back.

That is the difficult choice for most people. HODLers get a perspective on the CME futures that will be launching soon. Lots of HODLers have been liquidating since 5k to be wealthy.

The crash on Bitcoin will likely be of many magnitudes deadlier than the stock market. The whole thing is retarded. dust yourself off, mortgage the house, and buy at the bottom. Strange retarded world we live in. The problem with this is that everyone should be free.

The stock market is a closed system. The worst crash ever was repaired in 8 months and the market has been much more healthy since then. Hold it as fiat?

HODL strong and modify your mindset. Talk about self fulfilling prophecy. We have been here for years and all understand how BTC works. Let me look and see if I have any of that.

Got in at sub 1k, lost all, some to a phishing site and most of it on online gambling. The story is often used as a metaphor for the inability or unwillingness of people to react to or be aware of threats that arise gradually. How will you feel? The world will collapse.

That thinking is insidious unless you are strong enough to deflect it. If you got in at like sub 1k, yah, you made crazy unreal profit. The CME futures will bring flow unlike crypto has ever seen no doubt, but leverage is dependent on the clearing firms and their margining requirements. This will be hard on your psychological commitment. Honestly, I think this is more likely.

It has been this way for years. Having the stones to hold is a learned talent. Yeah, not selling but I might buy more if it crashes.

As a newb to all things investment related I thank you for the explanation! That kind of swing can happen in 3 minutes. But in seriousness, If I happen to get to that point, later. Must be nice to have enough money to afford a car like that! My number is one which will allow me to live a comfortable retirement.

Man, so much wisdom in that. Converting BTC into dollars and then buy things with that money. He worries about his weight and his home value.

In a major crash that is a result of the unwinding of levered long positions, it is feasible that the public loses faith in BTC and never recovers the value lost. Crypto exchanges have been offering up to 100x leverage in both futures and standard margin margin accounts. BTC went back to 3k. Their clients will demand that they push it to 1000k.

Great post, thanks for this. There are a TON of us waiting for a sniff of a crash. This is a good video that explains. At least research something before you post. Its related to a country economy.

So yay someone becomes rich because they invested early in btc, while a million kids in Kenya starve to death and never had any chance at anything. He has no clue what btc is. There is no such mechanism in BTC. Like I said, it is possible we are in different areas and different experiences. You will end up with zero.

Thank you for posting! IMHO this second one will be the most likely scenario if BTC ever goes mainstream. When it gets over a certain threshold in the online account, I migrate it to a wallet. If you ever see a bunch of crabs in a bucket, you will certainly see one behavior.

Everyone has to remember even as wallstreet money flows in, we are still the ones who control bitcoin. It takes years and years of accumulation and volatility to create a normalized market. So when it crashes because of actions of one country, the others will see it as an opportunity for profit.

The CFD joints are offering like 500x. The twist comes when the Fed announces the death of cash dollars, and Lambos are priced in BTC! The crypto kids need to get some wall street smarts before they fly the nest. The crash will feel like there is zero force going against the selling.

When something enters a levering stage, like Bitcoin is about to, the mechanics of the market are HEAVILY weighted to the buy side and not the sell side. We were born into this world where the balance of power perpetuates this kind of suffering. Man I love this community and this space. If Bitcoin grew to be a 1 trillion market cap over the next couple of years, the volatility would go down significantly.

He is middle aged, has kids in college, one with an abusive dick head boyfriend. This last weekend was the first time I felt that, bought a bit more! What kind of market could hold on after a pull out from China?

Roger Ver is a sneaky weasel. No, it is not. The strong corrections are opportunities for much better entries. Are portfolio insurance, negative US macroeconomic data, and breakdowns in order routing systems going to cause Bitcoin to crash?

That is a metaphor for life and jealousy that most people have to live with. Also, those are bitcoins, not dollars, so dollar amount needed to cover that rises as exchange price rises. Who was it of some notoriety that recently said bitcoin is going to cause the greatest bubble we ever witnessed. Seriously how do you figure out the number and what do you do with it after?

If I sold at 100k, it would be enough to help increase the quality of life for my family and still leave enough BTC for even more potential growth. Of course on the back side of that, derivatives and housing bubble. So I decided to do a strategic default and stopped paying them. Having money makes that easier, but it never takes away your problems. It never came back.

But the median home price differs from country to country and within these parameters also between regions and personal expectations. This whole thread, actually. Trading in futures is complete different then actually be in possession of a bitcoin. My point is this.

Its a good argument, but we cannot compare bitcoin to stock market. For the long haul. The boiling frog is a parable describing a frog being slowly boiled alive. Smart money bought that shit for pennies, sort of. Next thing: the 1987 crash, while devastating in many ways, was completely recovered by the stock market in 8 months.

Oh wait, I have a three yacht garage. For the stock market to lose most of its value permanently, all companies have to go bankrupt. These people may all have jobs now, but when 20 years of savings is wiped out in 2 years, it takes a toll. Great post, love the insight! This is hard in commodities because they have real economic forces, not in BTC.

But if you have an exit outline at a given time of life, whenever that is, and you get your number, take it. But of course that psychological mood is crucial for prices. Why does this matter for Bitcoin? The only way I can see the futures market have an effect on the bitcoin price is if someone tries to manipulate the price of bitcoin in order to set favorable conditions for his obligation under the futures contract.

They will bid future contracts prices to the sky and spot is going to follow. Thanks for sharing your perspective, I feel similarly WRT hodling. Get a new car and drive it to work? BTC to be in 6 months. The premise is that if a frog is put suddenly into boiling water, it will jump out, but if the frog is put in tepid water which is then brought to a boil slowly, it will not perceive the danger and will be cooked to death.

If demand stays constant when the supply of freshly mined coins drops in half, the price should increase. Every dip will seem the last dip! BTC is going to not difficult be 11200 on delivery. Or you bid up the prices of contracts in the future, which will drag spot up. Either you keep buying in small quantities to avg closer to lower price or wait and you might miss.

Remember the ETH flash crash? This is significant because of the mechanics of market prices and the future potential of market prices. This may sound weird, but the potential capacity to sell is a function of those who previously bought. This is how futures contracts drag up spot price. My personal rule is to buy when I feel my absolute worst.

DJIA was at 1938. What I mean is it will simply have gained leverage of some exponential magnitude. The overall effect of all these people trying to game each other is a reduction in volatility and an increase in liquidity, both good effects.

The same will happen with Bitcoin, but my fear is that crash will be worse than even wallsteeters can handle, and it may shake you HODLers to the core. Because I believe a similar story is about to unfold. You need to be very slowly staggered so you are sure you will never quite run out as the price soars. Then I got worried and held.

He puts his pants on the way you do and wants to maintain his life with his wife. If you have children in school and are close to family and that is important for you to maintain, a lot of times it makes sense to carry on with your life as is. The stock market went on a spectacular run for 5 years until it eventually crashed in 1987. It becomes a huge game of who has more assets and can bully the other guy. No one at work is going to show up at your funeral.

That would feel fucking crazy, no? USD worth of BTC in 3 months. No condoms in this game. How do you recognize the bottom of the dip? Wanna add a bit about market speculation all you need to do is either prepare yourself with shield and sword OR hodl.

The CME will settle in cash, so there will be no purchasing of the underlying asset. LOL, Bitcoins has already crashed twice in a year in your definition. All normal shit for most people.

When the CME futures are added, it will likely lead to spectacular rallies, but you need to arm yourself with the knowledge that the eventual buying will plant the seeds of the future capacity to panic. Yahoo stock when the tech bubble burst. But you have to have some dry powder to do it. BTCs value is likely correlated to adoption so any shocks that harm the potential long term adoption could impact the long term value of BTC. Now your theory is ruined. DJIA was at 1927.

People in Florida were hit much worse than people in Maine, for example. It will be interesting for sure. If the ETF arrives in 2 years, expect the rally to continue longer and much higher. Welcome to the ultimate extremistan market ever! It is up dramatically since those days, and that crash was a blip on the screen.

That contract I described is a futures forward contract. If you owned 1 coin at 100 and sold, crash that results in coins at 33 would let you buy 3 coins. When one tries to crawl out, all the rest will inevitably pull him back down. Makes me excited to be a part of this. The truth is, nobody knows where bitcoin is going to go. Or maybe they called it life.

One big difference between then and now are computer driven trades. Went from 250 000 000 000 000 to 249 999 999 999 999. It has happened so often now that I scoff at the gloom and doom reporting because it has gone on now for three or four years longer than it should, in each case.

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