DaveAchkar wroteDo your research.
My warning comes from that fact that no government is truly endorsing it, its not regulated and there is no clear indication of demand and supply for it effectively making it extremely shady and mysterious.
NYDFS is releasing the "bit-license" a license specifically for new and growing Bitcoin businesses in New York.
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UK Chancellor of the Exchequer George Osborne is expected to announce the government's digital currency plans following the new budget.
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The German Finance Ministry announced that bitcoin is a "unit of account" and can be used for the purpose of tax and trading in the country. Bitcoin is recognized as private money.
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As for money in the bank example, what happened in Cyprus is not only an extreme situation but one that is technically illegal with the idea questioned up till today by important officials and lawmakers.
That's a neat after the fact justification. Would you also qualify the crash of 2008 as an extreme situation that shouldn't happen? Read up on the Black Swan, these events define the systems we live in, rather than being the exception.
As for prices dropping, its simply the lack of demand and its not about the media.
You sound incredibly certain of your statements. Do you claim you completely understand the cause of price fluctuations?
Have you considered that every ten minutes 25 new bitcoins are created, the supply, therefore, continuously increasing?
Have you considered that growing merchant adoption can lead to downward price pressure, because merchants that receive payments in Bitcoin sell them directly to cover their cost?
Its also extremely unstable in terms of pricing, making it not a very attractive mean of exchanging money.
This was solved a long time ago.
https://coinapult.com/locks/info
https://bitreserve.org/en/how-it-works
Again, id like to remind that i may be an expert, but i would never claim that i know everything and while my reasons are clear, they could be dealt with, making Bitcoin an important aspect of our future. Lets hope so.
Repeating 3 times that you're an expert doesn't make you an expert. Providing sound and researched arguments will get you there.
Meshklet l lebnene and his arrogance.
Yes, people that make no effort to research their claims nor provide any facts should not be entitled to an opinion.
well i appreciate all the info you provided although it could have been an amazing reply had you not turned it a bit personal ;)
i dont get it, you guys sound like you are angry or for some odd reason dying for this to take off. Chill.
Governments are taxing it which is good although its not considered legal tender.
http://www.forbes.com/sites/samanthasharf/2014/03/29/for-bitcoin-lessons-in-the-history-of-failed-currencies/
crash of 2008 is not an extreme situation and worse could happen what i meant was the Cyprus situation was handled in a very dangerous and illegal way. Dont need to read up on anything bro, i do this for a living. Read up on Greece and how the current party ruling the government is doing the right things and setting their foot down against the European central bank and German governments. Those two basically destroyed Greece and put so many rules and limits that the country will never accomplish whats needed for them to return to the international markets.
and yes, i completely understand the cause of price fluctuations. i have access to all banking platforms whether involving stocks, options, futures, currencies, you name it i can see its flow. I see when pros are buying or selling, i know when they are accumulating, i know when they dump. Sometimes i can even tell as soon as they just start. No fortune teller but when you are in the biz you can see all of this. its no hidden secret and even attempting to take advantage of it is extremely difficult but at least its there and i know it. They are humans (robots too) theyr just faster thats all. So when i tell you its the lack of demand its because all signs and flow point to that. Not an assumption. Although this is not something you can find articles about. Its something you learn from other pros in the field and spend thousands of hours seeing it in the order books.
About volatility, well whatever the case is, i see its prices on a daily basis and it swings like crazy. So its volatile and theres not much to say here beyond this.
I can literally find dozens of articles on why this would fail. Its not a matter of seeing people adopting it or government agencies discussing it. Its about a whole monetary system that cannot handle such technological advances in terms of money and thus cannot implement this no matter how many people adopt it. IF this was to be adopted, it could potentially change the entire global system and trust me, a lot of powerful people bank on the current system set in place. Its beyond all of us.
Id love to see otherwise. Again i have nothing against Bitcoin (for a second you guys made me feel like im against it, im not :) ) I hope this does take off.
I am glad you guys are doing your research, just like Dave told me to do mine, im thanking him for doing his and enlightening all of us. I truly had no idea about a lot of the info you guys posted.
Link, regarding the study, heres an example that might save you some work.
You are trading and you bought 1 bitcoin at say 200. Your stop is at 190 meaning you are willing to lose 10. A news event comes out, the pros drive the price down by selling at market big sizes, forcing the prices lower and as soon as you start selling at 190 or your stop loss is hit, those same pros are buying (taking the other side) driving prices higher again and profiting both ways. They need the liquidity the little guys provide to make their money.
All traded markets are driven by supply and demand coming in from large and professional investors, funds and corporations. No matter how much you think the media affects it, it has nothing to do with it.
Its never the media. They want you to think it is so they can always make money off of you and get a better deal, thus making their money. You always believe its bad news but really they are already aware of this way before it comes out, they are already in control.
And no im not joking this is really how things work in the world of trading. Believe it or not ;)