BITCOIN

[Deleted User]

HansOndabush said:

Yeah basically if its gone down you've lost. End of. You then have to decide whether to sell and limit further losses or carry on holding in the hope of a reversal in fortune. Either way you have lost, fact.

And that was all she wrote.

tichtich

If the price of an asset falls because its material prospects have got worse,  then of course that's a loss. For example,  you own shares in a company whose factory burns down, and its share price slumps as result.

On the other hand,  if the price has only fallen because of a temporary change in market sentiment, then it doesn't matter unless you sell before the sentiment changes back again. 

In the case of Bitcoin, the price is almost entirely a matter of market sentiment. The question is whether the sentiment has changed temporarily or permanently. 

Scottex99

TimSynths said:

Well that was a bit brutal! I've been through this before and its never nice but i'm not as panicked as I was the first time.

Yeah, chilling.

Asia might crash it again but picked up some nice buys near the lows. Now Elon is tweeting that Tesla has Diamond Hands haha, weirdo

HansOndabush

tichtich said:

In the case of Bitcoin, the price is almost entirely a matter of market sentiment. The question is whether the sentiment has changed temporarily or permanently.

Exactly, bitcoin price is driven by pure speculation; it's failed as a currency and failed as a 'store of wealth'.

[Deleted User]

tichtich said:

If the price of an asset falls because its material prospects have got worse,  then of course that's a loss. For example,  you own shares in a company whose factory burns down, and its share price slumps as result.

On the other hand,  if the price has only fallen because of a temporary change in market sentiment, then it doesn't matter unless you sell before the sentiment changes back again. 

In the case of Bitcoin, the price is almost entirely a matter of market sentiment. The question is whether the sentiment has changed temporarily or permanently. 

No, that's entirely the wrong way round, tichtich: 
The market is not in error if it does not conform to your reading. I often think it is but when I come to trade, nobody else cares!
Many investors seem to be clinging to the comfort of the idea that the market will eventually say You're right (as if you are a stopped clock).

HansOndabush

Scottex99 said:

TimSynths said:

Well that was a bit brutal! I've been through this before and its never nice but i'm not as panicked as I was the first time.

Yeah, chilling.

Asia might crash it again but picked up some nice buys near the lows. Now Elon is tweeting that Tesla has Diamond Hands haha, weirdo

What else can he tell Tesla investors? The truth is he has gambled with their cash and lost for now.

Thrugelmir

HansOndabush said:

Yeah basically if its gone down you've lost. End of. You then have to decide whether to sell and limit further losses or carry on holding in the hope of a reversal in fortune. Either way you have lost, fact.

All depends on your entry price. For every loser there's a winner. 

thegentleway

HansOndabush said:

Scottex99 said:

TimSynths said:

Well that was a bit brutal! I've been through this before and its never nice but i'm not as panicked as I was the first time.

Yeah, chilling.

Asia might crash it again but picked up some nice buys near the lows. Now Elon is tweeting that Tesla has Diamond Hands haha, weirdo

What else can he tell Tesla investors? The truth is he has gambled with their cash and lost for now.

Wasn’t the announcement at the start of the year so he’s probably still up...

IvanOpinion

I did say that when it drops below £10K again I might consider a flutter - guess I may have to put my money where my mouth is in the near future..

HansOndabush

thegentleway said:

HansOndabush said:

Scottex99 said:

TimSynths said:

Well that was a bit brutal! I've been through this before and its never nice but i'm not as panicked as I was the first time.

Yeah, chilling.

Asia might crash it again but picked up some nice buys near the lows. Now Elon is tweeting that Tesla has Diamond Hands haha, weirdo

What else can he tell Tesla investors? The truth is he has gambled with their cash and lost for now.

Wasn’t the announcement at the start of the year so he’s probably still up...

Nope. 8th Feb when bitcoin was around $40K; now $34K.  I thought you were an expert on using google as you had lectured me on it?

https://www.cnbc.com/2021/02/08/tesla-buys-1point5-billion-in-bitcoin.html