Well folks, another blog entry to the fallen price of bitcoin btc. I’m sure, you’ve already seen it, or heard about it, that Bitcoin crypto currencies isn’t doing too well. This goes for all crypto currencies, not too well whether it’s litecoin, dogecoin or any other coins, it will follow bitcoin performance.
So what causes the price to tumbled? no one know, but the concept is more seller than buyer or quick buy and sell will cause the price to drop, as that is what causing the price of bitcoin rise and falls. So why are people not holding their bitcoin? we don’t know, could be a variety of reason? such as not much development going on, although there isn’t much negative news either that could impact the price of bitcoin to go down. In fact, bitcoin doesn’t react to bad news about bitcoin much, that’s what make it different from stock market.
So what’s the speculation on the price in weeks, months and years to come? This would be depending on the development of bitcoin and long term investors willing to invest for long term, not pump and dump. For instant, Bill Gate mentioned that he likes Bitcoin, and it’s the currencies that’s not paper, it’s digital. Paypal is another one, that thinking of adopting bitcoin. However even if large investors and large companies like paypal adopting bitcoin, it will take time for bitcoin to go up again to even the $500 mark. It is very likely that bitcoin not ever hit $1000 again in the months to come or even a year. The 1000s price were combination of mtgox situation and bubble.
What will happen to the hash rate when bitcoin drop back down to the 100s? Well hope that it doesn’t drop to 100s, but look like it will soon. The hash rate of mining will likely to decrease because mining farm will start to loose money and eventually will close down, bankrupt for that matter. However there will be some miners keeps going mining, because they have free electricity, but very small handful of miners.