China bans bitcoins.Price of bitcoin is increasing. A few things I am confused about.
A friend of mine living in china confirmed that China is banning bitcoins for real. Could it be that the banning of bitcoin has led to an increased price of bitcoin. As we can observe price rose about 200 USD from 3700 USD to around 3900 USD today.
What would happen if all governments ban bitcoins. Would our investments be in vein and a loss project then ? Or could it be that we the late adopters become the sufferers of these things. I also don't understand the justification of calling bitcoin a bubble by famous marketers and big people. and some other also say it's unstoppable.. But what reasons do they hold that they call it a bubble. And they advise that people have to get out like any other bubble to make profits. But I know for a fact that most of us here are going to be investing in Bitcoin for the long term. So, is it safe to assume that bitcoin will the prime currency of trade and won't lose value to people even if the governments bans it? And another scary thing which I heard @jerrybanfield say was about quantum computing beating the cryptographic hashes that are generated as private and public key and that is also a very daunting information on bitcoin. For those of you who didn't see the video you can find it here. Be sure to follow him. He is a great hard working guy and also vote him as a witness too. I'm sure you will like his content.
The China regulations did make Bitcoin crash. It was up near 5000 dollars a couple weeks ago and dropped to 3000 in a few days. As with most things though, they don't last forever. The Chinese moved away from exchanges and things began to rebound towards 4000. After that China imposed even stricter regulations which caused less of a crash and more of a sustained bear trend for about five days towards 3500, before turning bull and heading back up towards 4000. This is just how the game goes, it's pretty much impossible to determine how much of an effect certain information will have on the price of bitcoin. I thought the closing of the exchanges should've mattered less than the banning of p2p bitcoin transactions, but it was actually the opposite. And I'd like to think all this China nonsense is over, but I don't know, everything seems a little too quiet right now..
Yes, I really don't get how these events relate to the price rising or cashing. Is there a place I can learn about this from. I mean on what things the price of bitcoin is related to?An do you know any place where I can learn this sort of financial analusis?