Coinbase Exchange 'Breaks' As Crypto-Carnage Hits Entire Virtual Universe

Update: As selling volumes accelerate, so one thing is assured... Coinbase is down...

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Extending its overnight decline, Bitcoin is now down almost 15% from last week's highs, back at its lowest since June 16th...



It's not just Bitcoin either...


And all of the largest 30 virtual currencies are deep in the red...


Catalysts for this most recent drop remain unclear but as we noted last night, chatter is focused on uncertainty surrounding SegWit (another potential fork in the codebase) and some looming large ICOs.

Some are also wondering how inter-related the Nasdaq and Bitcoin have become...


Manthong FrozenGoodz (not verified) Mon, 06/26/2017 - 12:12 Permalink

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Wake me when the infinitely divisible Bitcoin reverts back under gold.

In reply to by FrozenGoodz (not verified)

OpenThePodBayDoorHAL vega113 Mon, 06/26/2017 - 15:58 Permalink

Tech-gasm and hubris. They wanted a fantasy developer's project so they didn't just write code with existing tools, they built a brand-new database, a brand new virtual machine, and a brand-new programming language. Then they built brand-new "smart contracts" on top of that, oops one of them operated successfully as written and some guy got $50M, and split Ethereum in two. That's why there are two of them.Last I heard nobody has succeeded in splitting element 79 on the perdiodic table. Its price is rigged in the short run by bank criminals but even they can't stop it in the long run.

In reply to by vega113

HungryPorkChop toady Mon, 06/26/2017 - 12:09 Permalink

The Crypto's will remain a roller coaster ride.  What will ultimately happen is the soild coins like Bitcoin, ETH, Litecoin and Dash survive these tital waves as the latest fad hopium coin slowly start to fade and die.  Right now it's like the wild west with new coins showing up every week sort of like the NASDAQ in the late 1990's.  A few short years later and all of those companies were bankrupt except for a handful that survived and kept steaming along.  Very simple to see what is happening here.  Pick the long term survivors and BTFD when the carnage ends.

In reply to by toady

Ink Pusher Spaced Out Mon, 06/26/2017 - 15:13 Permalink

"why are so many morons still poor?"Because they are still under the false impression that they will have secure pensions by year end."Shorting is a mug's game"Playing in ANY market and not expecting perpetual shorting to occur is the act of a moron. "skim the volatility and don't get too greedy."Those are the words of a chickenshit parasite ,Not the words of a real  trader. 

In reply to by Spaced Out

Ink Pusher tmosley Mon, 06/26/2017 - 15:42 Permalink

Same goes for any market, if you didn't get in early, don't get suckered by those who bought too fuckin' late.Take weed for example:If you bought in under $3 in November  2016 and sold at the $18 Peak a year later you did well.If you were late to the party in Jan 2016 , you still sit in the black.But latecomers today buying at $7-$10  have very little hope of seeing any substantial gains due to volatility and derivative speculation.Buying the dip and hoping for the best is a half-assed methodology. Too much literally wasted time & value covering short plays.I just want to know how in hell the value gets determined when it took 10,000 BitCoins to buy a fucking pizza in Jacksonville ,FLA in 2010 to the completely artificially created unsubstantially inflated valuation of today. It seems the whole crypto market is a bunch of fucking delusional idiots and/or savvy criminals who for some reason believe a line of code is worth more money than an ounce physical gold bullion.Paradigm is a just nice way of saying we are doing FLOOZ and the .com bubble bullshit all over again less than two decades after the fact not having learned any lessons from the last crash which decimated the tech industry and took it all one step closer to realization of actual digital monopoly.For anywhere between $500K-$700K ANYONE CAN SET UP TO MINE with a 1Mw Rig. What's coming at us next ? A Crypto-version of the FED?Crypto-Lenders? Crypto-credit?

In reply to by tmosley

adr HungryPorkChop Mon, 06/26/2017 - 12:22 Permalink

What nobody can answer is why I really need a Bitcoin?There is nothing I need to get for my current lifestyle that requires a Bitcoin. I don't need a Bitcoin to get food, or buy anything at any store. There is no store I shop at that only takes Bitcoin as a method of payment.The only reason why I should buy a Bitcoin is that the Bitcoin I buy for $2500 might be worth $100k in the future. It would be nice to have $100k for something I paid $2500 for, but I can't really appreciate the Bitcoin while I hold it, it has no value. I can't see it or hold it. I can't listen to it, or have any utility from it, other than the hope it will be worth more in the future.It would be stupid to spend the Bitcoin since there isn't anywhere that requires that I spend it. If I spend the Bitcoin I miss out on any future gains in the value of it. So there is no incentive to sell.This of course sets up the massive crash because if the only value is what it may be worth in the future, it sets up the mad dash to get out once it starts declining. Hence the exchange shut downs to prevent selling. The big players close the market so you can't sell, so they can stabilize the market and start bidding the price up again. So the plebs believe the value will once again be greater.Boy that sure sounds like the plunge protection team doesn't it.Crytocurencies are an abomination born from the abomination of the stock market. A purely digital version of stock certificates backed by nothing of value. At least NFLX does have a physical company behind it, as worthless as it is. Bitcoin supposedly has the electrons spent mining the coin. What does that matter? Do I get to sell something for the electrons I spent writing this post? The electrons spent mining Bitcoin would have been spent on something in the future. All Bitcoin did was pull electrons from the future on a worthless pursuit, meaning more are needed to be used for worthwhile expenditures later on.Jesus, Bitcoin is just like our ever expanding worthless debt. Pulling wealth from the future to pay for bullshit now.Scams never go away, they just change form.

In reply to by HungryPorkChop

wulf adr Mon, 06/26/2017 - 12:43 Permalink

By design, bitcoin's transactions authenticity is ensured by computer power alone (AKA "mining"). For this reason, it uses lots of energy, currently enough to power 1.2 million american homes.Buying bitcoin is similar to buying stocks from an useless and unprofitable company, such as Theranos, hoping it will become something in the future.Not only it's useless, but eventually someone will have to pay for the electricity bill.

In reply to by adr

RedDwarf adr Mon, 06/26/2017 - 13:56 Permalink

"What nobody can answer is why I really need a Bitcoin?"You personally don't, at least not yet.  That question misses the point entirely.Society needs bitcoin.  It removes the printing press from the elites.  It also removes 3rd party counter-risk.  It is also nearly impossible to confiscate if basic steps are taken.  Limiting the power of the state and bankers and avoiding regulatory capture means this form of money can promote a better society.Perhaps you are unaware of how the current system works.  Banks charge interest on fractional reserve printed fiat out of nothing.  All money is debt based, interest charged to the monopoly banking cartel, which uses that money to control the government and suborn democracy.  The government meanwhile uses this to fund infinite programs and destroy and socialize the economy.We cannot have a free and prosperous future under such a system.  We need solutions like bitcoin."Bitcoin is just like our ever expanding worthless debt."BitCoin is not created from debt.  It is a fixed quantity nominal value, and thus deflationary by design.  Nor is it fiat, it is the opposite of fiat.  It is a free market currency.  No government and no bank owns bitcoin nor is requiring that you pay taxes in it and accept it for all debts public and private.

In reply to by adr

silvermail RedDwarf Mon, 06/26/2017 - 18:50 Permalink

The macro world is infinite just like the micro world.We do not know where the limits of the universe are, what is behind them and what the universe is part of. We also do not know which particle is the smallest and what this smallest particle consists of. The world is endless in both directions.The inflationary nature of the means of exchange (currencies) can be based both on an infinite increase in the number of monetary surrogates of one currency denomination (printing dollars) and on the endless fragmentation of already existing volumes of money substitutes into smaller components (bitcoin fractionality). The inflationary result, from the method of delivering inflation to the economy, does not change.As in the first, and in the second case, we are dealing, with all the same credit expansion.Which, sooner or later, inevitably ends. And it ends always the same - the collapse of the next currency system.The assertion that Bitcoin is a deflationary currency is nothing more than a generally accepted deceptive error. The growth of the equivalent value of the original (parent) unit of the crypto currency, combined with its infinite fragmentation into smaller and smaller parts, generates exactly the same inflationary effect as any ordinary monetary emission. The final result in all these cases is the same:The aggregate money supply is growing at an accelerating rate, compared to the growth rate of the aggregate volume of the basket of real goods - goods, works and services.

In reply to by RedDwarf

vega113 adr Mon, 06/26/2017 - 14:22 Permalink

Wait a second. Are electrons spend on powering Visa, MasterCard, Amex etc. transactions were pulled from the future on a worthless pursuit too?
Are materials used by Apple to create iphones were pulled from the future on a worthless pursuit?

Just a thought - most bitcoins are held by tech people who understand the technology. Yet, somehow, the insiders don't sell. But those who are crying "Ponzi scheme" are exactly those who don't understand the technology and never read the white paper by Satoshi Nakamoto.
By the way, did you read the white paper? No, right? But you read something about bitcoin in you favorite news website.

OK, I will explain to you the genius behind the Blockchain - it allows to transfer digital value over the internet in a way that makes it impossible to duplicate.
As of now - this can be done only via network of trusted third parties - like banks. This process is slow, costly and doesn't scale. There are not a lot of banks in Africa for example. But with Bitcoin anyone with a phone can transact.
It is true, that you specifically don't need Bitcoin (yet), as you have access to modern banking system and live in a country with stable currency. There are a lot of people not so lucky.
And this is just the most obvious application of Bitcoin network.

In reply to by adr

silvermail vega113 Mon, 06/26/2017 - 18:49 Permalink

Spending huge energy resources and polluting the environment for the production goods, servises and any real values - it is correctly. But spending huge energy resources only for the creation of equivalents of value and means for the transfer of value (means of exchange of values) is an absurdity that, sooner or later, humanity will be recognized and rejected .Today, crypto-currencies are generated by millions of personal computers around the world, in a round-the-clock operation mode. In addition, in the process of generating crypto-currency, thousands of industrial servers and data centers that need energy not only for useful work but also for cooling are involved. Talking about ecology, saving energy resources, reducing greenhouse gas emissions, and the same time talking about generating crypto-currencies, is the same as publicly admitting either in complete absence of logic or in the presence of a clinical diagnosis of a "split personality".

In reply to by vega113

silvermail giovanni_f Tue, 06/27/2017 - 16:37 Permalink

When you learn to think, you will understand that gold is a value. And any crypto currency is just a tool for expressing value.You just need to be able to think in order to understand the difference between spending energy on the production of real value and spending energy on the production of some crypto shit only to express in this crypto shit some real value.

In reply to by giovanni_f

Sudden Debt The_Juggernaut Mon, 06/26/2017 - 18:07 Permalink

You'd better think twice.The crypto bubble is poppingIt's not just one, it's all of them.The Azians are running to the otherr side of the boat.the question is: Into what asset are they going now? This is pretty interesting to know as Azians go in groups. In 3 months from now, all who will be left in bitcoin are the Americans who can't sell on coinbase anymore, their only exchange.And when the FEDs investigate coinbase and tax all the taxfrauds, those who still own it will be having one serious tax audit on their hands

In reply to by The_Juggernaut