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Bitcoin, The new safe haven?

Discussion in 'Investing' started by Denis, Aug 21, 2017.

  1. Denis

    Denis New Member

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    I couldn't help but wonder how the bitcoin will react to a stock market crash. Will it be a refuge or it will sink likewise?
     
  2. anotherdevilsadvocate

    anotherdevilsadvocate Well-Known Member

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    I don't think it would follow a stock market crash. Stock crashes have the element of people selling stocks to get their money out of investments. Bitcoin is a currency, so people wouldn't sell it off just to change it to dollars (assuming Americans).
     
    Anny.M likes this.
  3. michaelbronislav

    michaelbronislav New Member

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    Bitcoin is considered a very volatile asset, but is generally not correlated with other market, making Bitcoin a useful place to invest when other financial markets are down in the market.
     
  4. Anny.M

    Anny.M New Member

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    Agree with you.
     
  5. Gambit

    Gambit Active Member

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    Main problem right now is lack of security.
    IT security is a real-world issue, not just for bitcoin but within any industry that uses technology. You only have to do a quick Google search for recent hackings of large global companies to see that any company is open to security issues regardless of size or industry.
    Cryptomarketit differs from the stock market, I think bitcoin going to be a life jacket during a crisis.(when the stock market crash)
     
  6. StockJock-e

    StockJock-e Brew Master
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    Ill tell you why bitcoin may suffer if the market crashes.

    I know people with huge profits sitting in bitcoin, if the market drops and they want to switch to some safer investments which are now on sale, they will sell bitcoin and shift funds into equities.

    Bitcoin trades like a penny stock, the only reason people keep piling into it here is because it keeps going up, reinforcing the group think that you can't go wrong with bitcoin because its going up and is therefor safe.

    Everybody here with any experience in volatile trading knows exactly what the outcome of this group think will be.
     
    T0rm3nted likes this.
  7. Gambit

    Gambit Active Member

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  8. StockJock-e

    StockJock-e Brew Master
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    Ive been having more and more bitcoin discussions with people who have never had interest in it before.

    Im not one to be calling tops in bitcoin just yet, but the fact that previously uninterested individuals are seriously looking at it makes me feel this reaching the final stages.
     

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