The Bitcoin lost within hours massively in value

imago / Pixsell

The US beverage manufacturer Long Iceland Iced Tea drove the principle Bitcointhis week at the top. After he changed its name to Long Block Chain Corp., the company’s share price rose on the stock market by more than 200 percent. Block Chain refers to the basic technology of the Bitcoins. That the limo review of the new system company Bitcoin Code will reportedly now invest in them, investors attracted.

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As with Long Iceland Iced Tea is also what the cryptocurrency themselves the question: What is it really worth it? On Friday, the price dropped within hours by about 30 percent from – to less than 12,000 dollars. Last weekend was the currency still rose towards 20 thousand US dollars.

It pays to hold on to the idea of ​​Bitcoin

One analyst said to the news agency Bloomberg a “reality check”, which the purely virtual currency now subject them to. According to the business data processing Gilbert Fridgen of the University of Bayreuth in fact much to suggest that the current price drop is due to a bubble. But: “A consolidation is basically not so bad, the bubble could have been much greater.” but it is equally conceivable that the price quickly rises again and soon reaches old heights.

Bitcoin noise
Bitcoin, closing prices in US dollar since March 2013
2014201520162017201805 Tsd.10 Tsd.15 Tsd.20 Tsd.
Source: coinmarketcap

The value of Bitcoins show chartalone determine supply and demand. Governments or central banks, which take regulatory action, there is not – any more than an appreciable economy that provides behind it and for stability. Nevertheless would also remotely interrogated him in recent weeks, many people in the IT scene, whether they should not buy Bitcoins says Fridgen. “It would not surprise me if the price collapses again by 30 percent.”

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The largest digital currencies: Bitcoin and the alternatives

Driven to quick profit, many investors resorted to by the hope – where all should be clear that Bitcoins are not suitable for retirement . The price shot up, partly because the supply is limited: maximum 21 million Bitcoins it is the underlying algorithm According ever be. After the US furniture retailer Nova LifeStyle announced in the future to accept Bitcoin and other crypto currencies regularly as a means of payment, the price rose again strongly.

Read : What You Should Know About Bitcoin

So why the share price crashed just this Friday? at the end of many investors, the founder of the London branch website Cryptocompare, Charles Hayter, now wanted to still reap profits – and so say goodbye to the Christmas break. also for the buckling of the course, there are other reasons:

  • Bitcoin exchange Coinbase is confronted with the suspicion of insider trading.
  • The Danish central bank governor Lars Rode warned investors in a much-publicized interview with Danmarks Radio: “Stay away this is fatal.”
  • The South Korean Bitcoin platform “Youbit” also had to cease operating because of a hacker attack, a part of the deposit is lost .
Bitcoin noise
Bitcoin, closing prices in US dollar since early 2017

Jan. ’17März ’17Mai ’17Jul. ’17Sep. ’17Nov. ‘1705 Tsd.10 Tsd.15 Tsd.20 Tsd.

Sonntag, 1. Januar 2017
 Wert: 998,33 Dollar
Source: coinmarketcap

Bitcoins are numeric codes that are stored on each transaction per block chain and re-encrypted. On the USB stick, mobile phones or computers, the currency is shown to buyers in your wallets (Wallets) – and from there they can use them.

Since – unlike, say, in Asia – here have so far are few businesses that accept digital money and hardly anyone wants to give Bitcoins, the currency is considered by many merely as a (very risky) investment. In addition: “The Bitcoin system is outdated from today’s perspective, because it is too slow and too expensive for transactions, but in the world of crypto currencies it has the function of a key and reserve currency,” says Fridgen