Understand The Power of China over Bitcoin and Current PBOC Controls Driving The Price Down
From the comments online im noticing a lot of people still dont understand the power of China over Bitcoins price.
If you just watch news from China markets, you can do perfect trades just on this.
Lets look at latest news and the chart.
From ATH we went down just on news that PBOC (securities regulatory body) wants to meet exchanges about regulations.
PBOC came to investigate BTCC, OKCoin and Huobi
According to "the Office of the State Council issued a special rectification on the implementation of the Internet financial risks of the program notice" (Office of the hair [2016] 21) the relevant arrangements and the spirit and the relevant laws and regulations, the People's Bank Business Management Bureau and the Beijing Financial Work Bureau and other units Joint Inspection Unit, in January 11, 2017 in the "fire", "currency" and other bitcoin, LETTY trading platform, the exchange platform for the implementation of foreign exchange management, anti-money laundering and other related financial laws and regulations, The relevant provisions of the situation to carry out on-site inspection.
Price has tanked based on this controls.
Huobi had to close margin trading platform. If you are not aware - they are the biggest price driver on the market.
Now today they reactivated margin trading. Due to regulations its smaller than before - 100k CNY instead of 10 million CNY.
Price has started raising slowly again.
OKcoin futures that close tommorow trade right now at 777 USD.
BTC123 due to needed regulations is stopping their BTC investing scheme. If you can read chinese original text is here: http://m.btc123.com/news/newsDetail?id=5134
BTC123 will be held at 12:00 on January 26 2017 when closed and RMB Bitcoin financial system , and no longer accept any Renminbi and bitcoin wealth management business, the original user will finance the amounts paid on time and interest due Bitcoin After the principal will be automatically transferred to the personal BTC123 account.
If you are margin trading or thinking about investments, its worth to really follow whats going on in China right now.
Best places to margin trade are SimpleFX, Bitmex & OKCoin
The vast majority of people in China don't know what Bitcoin is. We all know that it's impossible that 3 million bitcoins changed hands everyday in China, the exchanges have inflated figures because it's their way of attracting customers. Akin to keeping the lights flashing on as many games as possible at the arcade.
Judging from price action, it hasn't done anything out of the ordinary. The news driving the narrative is just a perfect excuse for finding more liquidity. Isn't it convenient that 8888 was the top? 888 is a lucky number for Chinese people, it might be a coincidence but more likely is that the exchanges have control over the price with extreme finesse.
In reality, the news to us is not news to them.
Oh yes the creator of LTC coblee predicted 8888 to be top for chinese new year at 28th. But then 24h after his tweet we went for 1130 USD. I have made a post about this some time ago.
Thanks for the great comment!
I trace exclusively in China. Any smart trader will watch RMB prices. Even forecaster Clif High gives prices in RMB. His prediction for 2 years from now is 80,808 per BTC. Wouldn't that be swell! And there's your 8s.
I was just talking about the involvement of China in the rise and fall of Bitcoins, as well as the cryptocurrency world, and wondering if they aren't trying to get control of it all, by having the price go down to buy more themselves. by the time they would have a monumental amount, they'd be able to become the Bitcoin leaders of this world, maybe?!? Anyhow, thanks for the reminder for many, such information is critical in making investments decisions surrounding Bitcoins, especially. Namaste :)
China is also very good with technology and they noticed how good BTC is, its not just pure speculation but also love of this guys for new things
I totally hear you, namaste :)
Never a dull moment with bitcoin :)
Wish there was a day when i dont have to write posts.. but BTC just cant stop brining news.
Awesome post! I was looking for that information.
Glad i was of any use
Bitcoin being pegged to numbers 7 or 8. Or rather 777 and 888 in other market valuations. Great thing to pay attention.
8 is the lucky number in china, new year is at 28th.. lets wait and see ;)
Actually i just posted a blog about if buying BTC is a good choice right now and am thinking about buying this days
good informative blog @kingscrown , thnx , i think that i will take a look at Huobi
possibly wait for a dip below 800.. if it happens of course ;)
watching it carefully :)
Thnx
Since mining asics are concentrated in China, BTC is practically under CCP(Chinese communist party)control. Unlike Satoshi's vision, it is under control of one of the most oppressive government on planet.
This newbie is a Lurker learning a foreign language, immersed in a new culture. How stimulating.
Awesome, thanks for the tip! I have heard this multiple times, always keep an eye on china if you are invested in bitcoin!
watch them or just watch my blog here, i post ONLY about cryptos and only good stuff (at leat i think so)
I shall do both, already following you! I am slowly becoming an advanced trader!
Just dropping in again to say I still appreciate your support and work on here a lot!
I was gifted some SBD today and am thinking of investing it in some crypto in the next day, wondering what you would buy? Where and why?
I know I am struggling with my issues here as you know - but I have to look ahead also.
Have a nice day my friend.
Of ocurse do your own research but - try to catch BTC below 800, XMR below 0.011, XRP on some dump before adding to Bitstamp.. or just keep SBD as they are secure :)
I just did a post about this! I am thinking a regular series of blogs on this, and you are a key person
https://steemit.com/blockchain/@barrydutton/what-are-you-trading-today-and-why-episode-1-of-a-community-based-resource-for-everyone
ha nice idea, lets see how it goes for you ;)