Good and bad news: the crypto currency market is crashing

[birdie]

Already down 40% from all time high two weeks ago.

The market will soon be flooded with cheap GPUs.

The prices of GPUs will return to their MSRP.

AMD is probably f*cked up but that remains to be seen.

 

[the54thvoid]

This is all due to China mulling whether or not to ban crypto currency, or at least try to control it.

It's all down to China...... Though US legislation has it in it's radar as well. Ultimately, I can see crypto being blacklisted or regulated and that will destroy it's speculative value (hurrah). It wont go away but it wont be let allowed to run as it has been without governments consent. Notably, crypto is a source of income for North Korea. That and they have a very active and organised hacking collective, always stealing from banks and the like.

 

[CAPSLOCKSTUCK]

 

[FYFI13]

That's good, great and fantastic news :-D

 

[birdie]

This is all due to China mulling whether or not to ban crypto currency, or at least try to control it.

It's all down to China...... Though US legislation has it in it's radar as well. Ultimately, I can see crypto being blacklisted or regulated and that will destroy it's speculative value (hurrah). It wont go away but it wont be let allowed to run as it has been without governments consent. Notably, crypto is a source of income for North Korea. That and they have a very active and organised hacking collective, always stealing from banks and the like.

They are no longer mulling over it. They have announced that all crypto-exchanges are to be shut down by the end of this month. The market has responded.

 

[Melvis]

Just ban it! or ill start using my Monopoly money to buy things.

 

[TheoneandonlyMrK]

Your all getting carried away again IMHO.
Its bouncd exactly like this s fair few times in it's life..
Personally I see a lot of Chinese cashing out ,high availability of coin atm and some uncertainty ,but not the end but we'll see.

 

[Xpect]

Just ban it! or ill start using my Monopoly money to buy things.

As much as I hate mining: You are. That the paper you use to pay with and the numbers just printed on it has any value at all is just because people trust in it. The more people have trust in it, the more worth it has.
That the numbers you see in your virtual Bank account have any meaning, is just because you trust the banks, that there are physical stacks of paper to back it up. And that those stacks of paper are worth something is just because people trust in them that they have some worth.

If there were no such thing as money exchanges (giving trusted paper for receiving trusted paper of another country), you money would be worth nothing elsewhere in the world, because people might not know it and don't trust it to be worth anything.
That is pretty easily proven by some of the very very few tribes still living very remotely and not disturbed by our so called civilization. Your money is worth less than your stinking socks there, regardless of the amount you have. And something like money in your bank account doesn't matter at all.

 

[Vayra86]

As much as I hate mining: You are. That the paper you use to pay with and the numbers just printed on it has any value at all is just because people trust in it. The more people have trust in it, the more worth it has.
That the numbers you see in your virtual Bank account have any meaning, is just because you trust the banks, that there are physical stacks of paper to back it up. And that those stacks of paper are worth something is just because people trust in them that they have some worth.

If there were no such thing as money exchanges (giving trusted paper for receiving trusted paper of another country), you money would be worth nothing elsewhere in the world, because people might not know it and don't trust it to be worth anything.
That is pretty easily proven by some of the very very few tribes still living very remotely and not disturbed by our so called civilization. Your money is worth less than your stinking socks there, regardless of the amount you have. And something like money in your bank account doesn't matter at all.

This is always the comment I see in this discussion. And while at its core, it is true, there is a major problem with crypto currency and that is precisely what makes it special: it is not controlled and/or limited by central banks and countries.

The days of a single-currency world are far, far away on the horizon. I'll not deny that it is a movement that is happening, but it happens in a different way; the Euro. Unions of continents will in the very long term perhaps become Unions of something greater than that. As you say, the strength of a currency relies on trust in its value. There is no body in the world that can instill greater trust than the backing of countries with a good credit rating, due to the undeniable truth that countries represent people. And right now, there still are a lot of those even after the crises of the past years, as the balance is getting slowly restored.

Cryptocurrency is early adopting a utopian thought. If you consider this a safe investment in your lifetime, I beg to differ. These are massive changes to the world that technology cannot dominate on its own, just look at how long the internet takes to sit well with everyone - most notably governments.

 

[StrayKAT]

As much as I hate mining: You are. That the paper you use to pay with and the numbers just printed on it has any value at all is just because people trust in it. The more people have trust in it, the more worth it has.
That the numbers you see in your virtual Bank account have any meaning, is just because you trust the banks, that there are physical stacks of paper to back it up. And that those stacks of paper are worth something is just because people trust in them that they have some worth.

If there were no such thing as money exchanges (giving trusted paper for receiving trusted paper of another country), you money would be worth nothing elsewhere in the world, because people might not know it and don't trust it to be worth anything.
That is pretty easily proven by some of the very very few tribes still living very remotely and not disturbed by our so called civilization. Your money is worth less than your stinking socks there, regardless of the amount you have. And something like money in your bank account doesn't matter at all.

I think Power backs the value of (fiat) money more than people give it credit for.

Those tribes have it made, but if you planted a flag and beat em over the head, they'd probably start appeasing whatever system you have in mind. Sad, but true. I don't like it or anything.

 

[P4-630]

That sucks... Anyone interested in buying my farm?

 

[Vayra86]

That sucks... Anyone interested in buying my farm?

View attachment 92101

Will it run GTA V?

 

[StrayKAT]

Already down 40% from all time high two weeks ago.

The market will soon be flooded with cheap GPUs.

The prices of GPUs will return to their MSRP.

AMD is probably f*cked up but that remains to be seen.

View attachment 92100

Either AMD is in trouble... or the people who buy those gpus. I think it's more than likely the latter

 

[TheoneandonlyMrK]

Will it run GTA V?

Probably just about enough Amd gpus there for that
Still not worried though.

 

[jaggerwild]

Hurray!!!
Now to wait out all the duds that will surface.

 

[Keullo-e]

That's good news for typical gamers like me. Now we need to just wait to the GPU prices coming to reasonable levels.

 

[Sasqui]

A bounce back this morning. Here on TPU, you have miners, then those wanting to buy video cards at realistic prices to play games, so cheerleaders on both sides (I'm in the latter camp).

Then you have pundits/analysts working both sides as well... JP Morgan calling the whole crypto market a pyramid scheme. Who to believe?

 

[Boosnie]

As much as I hate mining: You are. That the paper you use to pay with and the numbers just printed on it has any value at all is just because people trust in it. The more people have trust in it, the more worth it has.
That the numbers you see in your virtual Bank account have any meaning, is just because you trust the banks, that there are physical stacks of paper to back it up. And that those stacks of paper are worth something is just because people trust in them that they have some worth.

If there were no such thing as money exchanges (giving trusted paper for receiving trusted paper of another country), you money would be worth nothing elsewhere in the world, because people might not know it and don't trust it to be worth anything.
That is pretty easily proven by some of the very very few tribes still living very remotely and not disturbed by our so called civilization. Your money is worth less than your stinking socks there, regardless of the amount you have. And something like money in your bank account doesn't matter at all.

Trust is not as ethereal as you paint it.
Trust in standard money is generated through various means that have real world consequences such as:
GDP of a country or a group of countries and other economy indexes, political stability, the return on investment, employment ratios, etc etc.
The zeitgeist way of thinking that since money is no more directly related to gold vaults it has no implicit value and can be freely and securely printed in any amount, has to be stopped. Contemporary Economy just does not work like that.
Barter is a payment method that's included in every country law system. If you decide, with a group of friends, to start using monopoly money to easly transfer value between your circle you just can; you have to sign a contract that specifies the value of a single bill and all of its multiples.
When you buy a loaf of bread from your baker friend with a monopoly bill, he's confident that you have a pile of real things to back that fake bill; but if you go to the same friend with a briefcase of monopoly's and propose to buy his house, he will probably tell you to go and have a long walk. That's because he can judge by naked eye that you will never have the means to back the offer. This is not trust, is judjement.

 

[DeathtoGnomes]

Hate to spoil the fun, but dont count out bitcoin out yet, it gained $500 since this was posted. However it might be artificial gain and we'll see what happens at the end of the month.

 

[trog100]

a very very controlled crash as happens to any over priced market due for a correction.. sell near the top predict the bottom which in this scenario seemed to be exactly $3000 and buy back..

more a controlled sell off rather than a panic one.. people just playing the markets.. as they do..

BTFD.. buy the f-cking dip..

trog

 

[the54thvoid]

The fact that bitcoin bounces as much as it does absolutely underlines exactly how precarious cryptocurrency actually is. This is it's problem, it has far less value and far less stability than standard currency and it's basis in use is 'flimsy'. It will be regulated eventually - it is inevitable.

 

[jaggerwild]

Oh well, I used to be a gamer. Need a new hobby I guess, ill be damned if ill over pay for a GPU, cause of a bunch of greedy people.

 

[Liquid Cool]

Back when I used to teach technical analysis, I recommended my students have this book on their shelves.

https://www.templetonpress.org/sites/default/files/2016-11/Extraordinary_Popular.pdf

I don't teach anymore and I have never followed Bitcoin. Although....I did pull up the two year chart on Yahoo! Finance.

Despite the snapback off the lows, it's quite ugly coming off the top. I'd like to be able to see the volume....but Yahoo isn't offering the option.

Whoevers in this market must have a strong stomach, I do not...anymore. Just a head full of grey hair.

Best Regards,

Liquid Cool

 

[Divide Overflow]

A volatile market has both ups and downs.

 

[Xpect]

@Boosnie Why do you use the word "zeitgeist" there? It's a german word, I am German, and I know that it would and should not be used that way, if the sentence were in german. Sorry, I'm just curious when I see german words used in other languages.

BTT: The problem with money nowadays, at least as I see it (and maybe I'm just some crazy and grumpy dude), is, that it is just backed by itself. If a friend would come to me with a briefcase of money to buy my house, I'd take it, not because I think HE has something to back it up or money was worth anything, but simply, because everyone else thinks money is worth something and thus it IS worth something.