Yesterday, bitcoin prices fell again, causing investors’ concerned. Is it time to buy the coins, or cash out? Is there a future for Bitcoin? Faced with the crypto currency craze, some investors love it, some expressed concern.
Since the beginning of this year, because of different factors, bitcoin’s prices continue to fall. On February 16, bitcoin’s trading price has fallen both domestically and internationally. Among the international trading platforms, BTC – E’s bitcoin prices fell to $617, down 1.03%; MTGOX even suffered from hacker’s attack and is currently shut down.
Some investors assimilate stocks market to crypto currency market. The classical wave theory talks about after the High Point, the price fell wave after wave. Specifically how the price will fall, investors think they are five waves: the first one happens at $750-$780, the third wave will happen at $570-$620; the last one happens at $320-$350. If the price goes below $320, panic selling will happen, and the price was stabilized at $800-$160.
Regarding this analysis, some investors think crypto currency and stock market have different characteristics, therefore such analysis is not accurate. Some investors also think the so-called wave analysis is not comprehensive, so there’s no accuracy.
However, in discussion about bitcoin, the majority of investors still agree that the future trend of bitcoin’s prices is basically downward.
“How do I buy bitcoins at MtGox?” Even after MtGox was hacked, some people still hope to buy bitcoins at lower prices. These people were warned that investing bitcoin from MtGox is same as throwing away money. It’s feared was confirmed today as MtGox closes its door to investors.
“I bought bitcoins at $160. The next day the price went up to $1300. Any chance that this will happen again?”
After this question is posted, someone answer: “It’s difficult now!”
Issues about crypto currency:
1. Hackers eyeing on crypto currency
Recent security issues have caused concern for bitcoin investors. Different crypto currency exchanges were hacked, causing money to be stolen.
Affected by this incident , Mt Gox Bitcoin Exchange fell to around 300 dollars.
Affected by hackers attack, MtGox Bitcoin exchange is closed permanently, causing bitcoin’s price fell to $300.
Early last week, bitcoin exchanges Bitstamp and BTC-e suffered hackers attack too. Bitstamp said that hackers use of “denial of service attack,” to submit a request to the site and caused it to crash and withdrawal are suspended. Bulgaria BTC-e also suffered similar attacks , which causes Bitcoin is “frozen ” in the transaction was delayed disbursement of funds .
2. Loop holes are not fixed
February 15, one chief programmer responsible for solving bitcoin software code said that the work to fix bitcoin vulnerabilities is going to be completed this week. This highlights the shortcomings of the virtual currency.
The delay in fixing the problems may be detrimental to people’s confidence in bitcoin.
” Take two or three days to write the code , and to test and make sure it does not create other problems , still need more time .” Bitcoin Foundation chief scientist Gavin Anderson (Gavin Andresen) said. Anderson is responsible for solving the problem of the five -man team members.
“It takes 2 to 3 days to write the code, to test it and make sure it does not create other problems.” Bitcoin Foundation chief scientist Gavin Anderson said. Anderson is responsible for the five-man team in fixing bitcoin’s problems.
3. Betting on the future
Computing power is an important factor in bitcoin mining. In order to stabilize output, many miners join mining to share the revenue. Previously there have been studies showing that if a mine is large enough, it can choose not to disclose the latest blocks, making other miners waste time to mine bitcoin, and gain control of the whole currency block chain.
Currently the largest mining pool GHASH.IO’s computing power is getting close to 51% throughout the bitcoin network, business development raises concern. The ghash.io community has published an open letter (PDF) to promise that it would not launch an attack. Ghash.io has taken measures to stop accepting new computing power to reduce the growth rate of the miners. Can we rely on such guarantee?
Germany recognizes the legal status of bitcoin and incorporated it into the country’s regulatory system.
Canada recognizes bitcoin’s “currency status” with bitcoin ATM machine.
U.S.’s attitude has been less clear. A lot of bitcoin-related companies have been receiving summons from regulatory authorities.
France declares bitcoin transactions are not illegal.
Thailand regards bitcoin training for any cool or service as illegal.
India will continue to focus on bitcoin’s development, not regulation.
Korea refuses to acknowledge bitcoin’s currency status.
Israel considers bitcoin with taxing profits.
China says that bitcoin has no legal status, people cannot and should not use bitcoin as currency.
Bitcoin’s losing streak
February 6, Apple removed bitcoin e-wallet Blockchain from the App store.
February 6, Russia announced that it will deem usage of bitcoin as ruble as illegal.
February 6, bitcoin’s price slip from $933.52 to a minimum of $801, a decrease of 14.2%.
February 7, the world’s largest trading platform MtGox said in a statement to suspend bitcoin withdrawals.
February 9 evening, bitcoin $622.4189. Within a few days time, bitcoin plunged 35.79%.
February 11, due the BPC – E software failure, bitcoin trainings were suspended. It caused a lightning crash, with price plunge more than $600 in a few seconds, a drop of 83%, return to $600 later.
How many more coins?
1. Ripple currency X RP: Ripple is more radical than bitcoin in design. Attracted several well-known venture capitalists, including Anderson Horowitz on April 10 announced participation in the investment of OpenCoin. OpenCoin is backed by Ripple in the virtual currency network.
2. Litecoin: Litecoin is a peer-to-peer digital currency, it’s MIT/X11 is licensed under an open source software project.
3. PPCoin: PPCoin is currently one of the more popular digital currency. Similar to Litecoin, PPCoin is also a bitcoin’s derivatives. Derivatives.
4. MasterCoin MSC: MSC’s concept comes from bitcoin. It has a new protocol to distribute money from a decentralized platform.
5. Dogecoin: Dogecoin is the second most popular “electronic tip currency”. The two founders
successfully combine a puppy and bitcoin, hence the name ”Dogecoin”.