Bitcoin update 6/17/11 – We’re taking on water (weekend crash)!
It’s the weekend, and what does that mean? Bitcoin’s value it tanking.
Bitcoin has lost 45% of it’s value in the last 2 days going from an average of $20 down to a current price of $13. Another rollercoaster ride. Could be the market crashing like I predicted before, but I get ridculed everytime I predict the bubble bursting so maybe I won’t try and call it beforehand.
But there’s an interesting phenomenon going on. Let’s look at another graph.
This is a 2 month graph with the notations of the weekend. In the last 2 months, 7 out of the 9 weekends have resulted in the sell-off and a loss of bitcoin value. I’m not sure why this is happening, but the last 3 dramatic drops have been over the weekends. This upcoming weekend seems to be following the same trend.
We’ll see come Monday.
June 18, 2011 @ 8:22 pm
The crashes probably occur because most of the forms of cash deposit in the exchanges rely on banks, which don’t work on the weekends. This reduces the potential buyers on the weekends even though sellers have no problem getting bitcoins in and out. As a result, the price will be depressed- and if it depresses enough, it can cause a panic and short term sell-off, even if there are buyers out there who would be willing to buy at the current or higher price.
Bitcoin
July 1, 2011 @ 12:05 pm
[…] for goods and services. The value of Bitcoins fluctuated by the minute, and would often times lose 30% of it