Analysis

Following a String of Attacks, Was a Bitcoin Price Drop Inevitable?

Guest Author | February 19, 2015 | 12:00 am
Analysis

Following a String of Attacks, Was a Bitcoin Price Drop Inevitable?

Guest Author | February 19, 2015 | 12:00 am

So now bitcoin price has gone down again.  After a recent surge of about $20 that got digital currency enthusiasts everywhere feeling pretty happy again, the price has now gone down by about $10 and is hovering around the $233 line.

Naturally, many of us are pretty disappointed, and yet at the same time, such a drop was to be expected.  With the recent malicious activity striking bitcoin exchanges all over the globe, a bitcoin price drop was probably inevitable.  We saw similar circumstances with the Bitstamp hacking, and now we’re likely to see it again here, especially considering there were so many attacks over such a short period of time.

The fact seems to be that when bitcoin security is down, the price goes down, and I suppose in retrospect one can say that when security goes down, trust goes down, and then the price goes down after that.  The price is always the last thing to be hit in ladders like these, so you know that when a massive price drop occurs, it’s likely that something pretty big had to have taken place.

So where exactly do we go from here?  How does the price get brought back up?  How do we start to clean up this massive weekend mess?  These questions are going through my mind, and probably the minds of a great number of cryptocurrency fans, and right now we’re coming up blank.  What does one do in times like these?  More so, what can one do?

It seems like right now we’re waiting for the proper authorities to continue their rounds.  A police investigation is underway in areas such as Hong Kong where the recent MyCoin scandal occurred, and hopefully from there, answers will start to become visible and ready…

But until then, it’s likely we’re all in the dark.

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  • Clinton

    The price seems quite resilient given the security issues (and today, the potential 50K flood of Silk Road coins). Gemini is meant to launch in Q1 (ie., within the next 6 weeks), which may provide a boost.

  • Crypto Currency Swot

    The drop is good to shake the final wales out of the ecosystem. New comers can enter at low price and to strengthen the base.

    All what left for bears to do is to spread bullshit. Or yell as loud as they can if a tiny exchanger got “hacked”. Some of them will setup free exchanges to create a self-hack. All they can do to bear.

  • cohagen

    Nothing but trader bots holding the line, most of the exchange volume is bogus. Why do you think okcoins otc left?

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