Did Bitcoin just get a major dose of Fake News?

in bitcoin •  6 years ago  (edited)

Is Bitcoin the latest victim of fake news?

The other day it was reported that Goldman was backing off plans to launch a crypto trading desk...

Today it was revealed that was likely fake news.

The CFO of Goldman Sachs, Martin Chavez said that the report circulating about Goldman Sachs canceling its plans to launch a bitcoin trading desk would be classified as fake news.

Come again?

His exact quote:

“I never thought I would hear myself use this term but I really have to describe that news as fake news."

(Source: https://www.ccn.com/fake-news-cfo-says-goldman-sachs-is-not-ditching-bitcoin-trading-desk/)

You mean the news that dropped bitcoin by almost 20% and wiped close to $50 billion off of crypto markets was fake?

According to the CFO of Goldman, that seems to be the case.

The original report cited "unnamed sources familiar with the matter" as their news source for the report.

Hmm... smells like a short and distort campaign.

Especially when you take into account the 10k bitcoin short that was initiated several days back by an annonmous trader.

That short bet totaled roughly $74 million at the time.

No recovery as of yet?

Interestingly enough, bitcoin is not recovering its losses as of yet even though these comments from the CFO of Goldman have been circulating for 12 hours plus at this point.

Like we have seen numerous times in the past, perhaps the original fake news release was merely an excuse to sell or drive prices down.

Now with the news being refuted, it doesn't really seem to matter as those shorts aren't covering and prices are not regaining those losses.

Stay informed my friends.

Follow me: @jrcornel

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Well...they figured out a way to manipulate it!

Assholes

Yep, easy money if you can do stuff like that.

  ·  6 years ago (edited)

Markets brought to you by Twitter — crazy times bro

maybe more will drop the balance of Bitcoin.

Bitcoin is the leader of the cryptocurrencies. It's price has influence over every alt-coin. Cryptos have limited real life applications so far. Basically they are being used for profit earning only. There is a simple rule-buy when the price is low and sell when the price is high. But do people realize who are affected by this speculation? Is someone's gain is not somebody else's loss? The big players know it. They plant fake news and change the sentiment of the market as per their interest. An ordinary investor becomes fool and cheated.

Correct. It is a zero sum game, meaning that if someone is winning, others must be losing. Which means only the strongest/smartest and most ruthless survive.

Farging Bastages! Let the market set the price; BTC can never be mainstream as long as it can be manipulated on a whim (make that “greed”)

😩👎😩

Ice holes! Cork suckers! (Johnny Dangerously)

Of course. It's all industry people that are manipulating the market so that they can make money even when there's no money to be made.

And now there are more options to short than ever before. It is often easier to make prices drop than it is to make them go up... sigh.

I feel like when BTC rises slowly the altcoins don't rise at all. In order for the altcoins to rise up, it seems as though BTC will have to shoot up drastically and I'm just not sure if that's ever going to happen again.

Give it time. Though I am with you in that altcoins are having major trouble moving up. I don't think we will see a meaningful rise in the altcoins unless bitcoin goes on a major bull run. Then new money will likely enter the space and try and find "the next bitcoin."

Very interesting... this could be a setup for an interesting battle of bulls vs bears going into a light volume weekend. Where we end up on Monday morning may give us a signal as to next trendline.

You may be right. It didn't take as much volume to push prices down as it took to run them up. Not sure if that is bullish or bearish. However, as news circulates that the news was in fact fake, I would expect to see prices lift at least a little.

How it can be prevented? Who will be responsible? It really harmful for the market.

Not sure. It is part of a normal functioning market I guess. Booms and busts. Insider trading is legal in some places.

Cryptocurrencies are full of manipulation. Just look good many times China has banned them...

Posted using Partiko Android

At least 27 times by my count. Luckily the market stopped reacting to it a while back.

Haha have you counted? I stopped long ago 🤣

Posted using Partiko Android

Haha no I have not. The actual total is probably around like 9 or so.

Excelente información mi querido amigo Jr. Cornel. Saludos desde Venezuela :$

Thanks.

I'm always aware of fake news. I wonder though.... would a Trump endorsement help or damage crypto?

I would think help. Though I am not sure he would. If he wasn't the president, he might. Governments do not want to lose the ability to control their money supply.

Unfortunately the damage has already been done, quite annoying really

Agreed.

Typo in title... I think you meant DOSE. Just pointing it out so you can fix it. I know as we get close to these creations of ours it is easy for minds to miss such things as they translate it to what we intended and we sometimes don't notice.

Keep up the good work. This one will be in today's @newsagg headlines.

Haha yes, thank you. Someone else pointed that out as well. Yea my brain often sees what it wants instead of what is there.

nice post thank you for this

Unbelievable!!! It does prove my point on how much emotion controls the market making predictive algorithms useless!

Yep. I am not sure what anyone is trading on these days. News? Nope it's fake. Charts? Nope they get whipsawed and wrecked every other day. Gut feeling? lol maybe, but your gut has you down 70% if you followed it late last year.

I just check around various crypto news sites looking for something worth buying. Then I read the white paper to see if A) it fills a need in the cryptospace or society and B) do they have a plan to market themselves. Then I look to see if they're active in any markets.

For an example... VeChain is one I bought recently. They just signed a contract with the government of Shanghai, so they fill a need. They're also getting picked up by a couple of more exchanges. I bought for $0.01 (the "experts" say it will hit $19 or $20 by the end of the year- If it hits a buck, I make $20,000 on a $200 investment. In lieu of having a crystal ball, I don't know any other way. I gave up on the talking heads on Y-Tube long ago.

Yea I mean long shots like that might be your best bet. Just gotta buy a lot of em and hope one or two pan out. If you buy anything already trading in the top 100 on coinmarketcap they all just move together with bitcoin currently. No reason to do any research they all move pretty similar.

I picked up 20,000 and it's already up almost $0.006. It was close to 2 cents when we had the dip. I doubt it will hit the expected $20, but I don't think a buck is out of the question. Another I like is Stellar Lumens and of course EOS.

Should be 'dose', not 'does' :) Those speculators are just so jumpy

Thanks for the catch! Ah spell check.

With the manipulation going on in BTC, the alts are very predictable. It's easy to pick alts such as NEO, GAS, XMR and when they are close to their low for the year, or setting new lows, buy. Don't be greedy. As they shoot up 20-25%, take that profit.....and wait for it to happen again. Nothing fancy, but easy money. You don't need to be exact on tops or bottoms, but don't chase a coin once it's breaking up.

Yes there is some trading to be done for sure. Though the smarter play might be to short on rips and cover on the dips. The market is in a downtrend and looks like it keeps wanting lower lows on altcoins.

Im sure your right, but I've never got into that. I bought the majors back in early 17 and have held. As this bear market continues, I've found this an easy way to make $$ and also accumulate more coins while their on sale.

Not a bad strategy.

It's always unnamed sources. This is infuriating and detrimental to the crypto world and it's growth . I feel someday these kinds of nonsense fake news will not budge the prices but we have a ways to go yet.

Unnamed sources familiar with the matter is the MO for a lot of these news releases...

Every time i hear one of these reports i just think to myself oh another rich person wants to buy cheap bitcoin..

Or another rich person sees an easy way to make 10% on their money in only a couple days with very little risk on their part...

  ·  6 years ago (edited)

These are the dangers of a relatively young and highly volatile market -- fake-outs and manipulation attempts through unsubstantiated rumour and fearmongering are nothing new for its older brother Forex and even there they are greatly successful from time to time:
https://www.bloomberg.com/news/features/2018-06-25/brexit-big-short-how-pollsters-helped-hedge-funds-beat-the-crash

And now that Bitcoin is being taken seriously by old school trading profiteers... Well, let's just say I would never bet on this being the last such incident.

That is a very good point. There is a famous quote from the movie Wall Street that comes to mind...

But why do it???

"Because it's wreck-able! All right. That's why!"

If the big guys can get away with it, they will do it.

I think the excuse was more of an excuse after the fact. "What made bitcoin go down? Oh, must have been because that old money decided to not do some kind of trading thing." Bitcoin is never really phased by bad news...unless it is.

Okay, if that was an experiment from Goldman whether they can manipulate the market, maybe it gets them into crypto. That will be good in the long run.

Maybe, though I am pretty sure they look at the liquidity and how it trades and see that they can swing prices if they want to...

That whole news about goldman sachs spreaded like hell and manipulation again at its best in the crypto market

Do we know who the source was?

good post!

  ·  6 years ago Reveal Comment

So the ongoing drop in Bitcoin is related to this fake news? Can the damage be reversed?

That is when the drop started. Though it was likely just an excuse to sell by those wanting to drop the market to make their short bets profitable.

As a newbie, this concerns me. I bought some BTC last year and I am holding it but it feels very uncertain and it also affects Steem.

Attempts at market manipulation are working, but again not exactly as hoped; there is no meaningful correction afterward. Why is that... The market surely is overly sensitive to bad news. Realizing that, manipulators have to drop the market lower just to cover their earlier shorts. They'll keep doing this so long as they can until they think they reached the definitive bottom from which we'll shoot upward. Who can call that?! I fear we're in for a long ride down. Yet I also welcome it. B/c who will do the buying at these levels? Those shorting will be less and less able to maintain inventory. Retail buyers will have the opportunity to jump into the game with prices at that level. The concern is retail buyers will see the 12 month history, the long decline, and be less than keen to buy in, when indeed they should and need to buy, buy, buy.