The Great Correction of 2017
Wow, what a ride for bitcoin enthusiasts. After a long ramp up through 2016 bitcoin hit an all time high of $1166USD on Bitfinex.
The price has proceeded to free fall to a low of $816USD, a 30% correction. However, this should not come a surprise to anyone that has been following bitcoin since it's first "new paradigm" moment back in 2013-2014.
The Catalyst
The People's Bank of China issued a warning to Chinese bitcoin exchanges reminding them to follow the new rules implemented to curb capital flight. Naturally, this move by the PBOC caused a shockwave of uncertainty and panic just as it has in the past which started a massive selloff.
What Happens next
Nobody can predict the future. Bitcoin's deflationary characteristics should cause the price to increase as fewer blocks are mined. As long as bitcoin remains valuable to some people.
Conclusion
Bitcoin is still in it's infancy. So don't feel bad if you're left holding a fat bag of coins bought at the top. There is definitely room for bitcoin to grow and for the price to swing back up to record levels. Who know's, it may happen sooner than you thought. If you are Canadian and want to buy bitcoin, consider using my referral code for QuadrigaCX.
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