the

Why Cryptocurrency Prices Are Falling

right ladies and gentlemen mr. Socko

here and welcome to some more Bitcoin

news and you might be wondering why

Bitcoin and pretty much all the old

coins are totally dropping right now so

it's in a big correction at the moment

and so there are several reasons for

that first and foremost if you haven't

heard yet I know I'm a couple days late

to the show

technically in making this video but if

you haven't heard yet coinbase has

introduced Bitcoin cash so we can

actually take a look at that Bitcoin

cash now on coinbase

what is wrong with that is that it came

out of nowhere and there are now huge

allegations of insider trading with

coinbase so how did that come about well

Bitcoin cash basically I think forked on

August 1st and coinbase was one of the

exchanges that did not go along with

Bitcoin cash at the time and everybody

really liked that decision because

Bitcoin cash is pretty much a tumor in

the crypto world numerous events of of

Corrections or crashes if you will have

been caused by Bitcoin cash and I think

in any case if you have to name a

product after a bigger product even

though it is a fork I believe that you

have a bad product like if you have to

name something after a better product in

order to get attention to your crappy

product then you shouldn't really exist

in the first place and if you if you

don't if you don't have the if you have

the audacity to copy a name like that

and not just come up with your own name

they could have named it basically

anything but when Bitcoin cash came

along they knew that if they named it

Bitcoin something or other after of

course it's going to get attention so

that is pretty much a red light in

itself

now coin base was supposed to release

Bitcoin cash and be tradable on January

1st 2018 however on the what I believe

it was Tuesday the 19th I believe it

showed up on coin based out of nowhere

there was no warning there was no

Twitter post

no emails that were sent out excuse me

previously that not even a 24-hour sort

of thing it just magically popped up on

the site and caused huge problems in the

few days that it was rising up to that

so we have an article here that coinbase

is halting Bitcoin cash transactions

amidst the accusations of bits of excuse

me of insider trading and this is posted

for December 20th when it was suspended

temporarily now it has been released you

can buy and sell I believe and so it's

all good now however what happened

before that is this huge huge increase

in the price just as just before

coinbase accepts it so what happened is

is a lot of people assume that some

coinbase employees spoke up about this

and that caused some a few or even just

one person to buy a ton of Bitcoin cash

and then put it up on G Dax and one big

problem is that they put it on and all

the prices so you could buy into Bitcoin

cash on coin base but you could not sell

it so that means the price was going up

and up and up and up and one point it

got to $9,000 so that means that some

people some poor guy or woman I suppose

poor person put $9,000 or bought Bitcoin

cash at $9,000 and now it is nowhere

near that so everybody that bought in at

3500 or more they just lost out they

thought that it was it was going to be

exploding but really it was just a show

and some things were pretty pretty

messed up about that so there's there's

huge accusations of that and this CEO of

coinbase is investigating it and wants

to you know fire or press charges

against any kind of employees but I

really don't think that's good enough

it's too late and coin bases reputation

has been tarnished however I'm going to

continue using coin base I don't really

have too much of a problem with coin

bases functionality however this was a

big blow to the crypto world I think it

will of course

recover but a big temporary blow so this

Bitcoin cash comes out of nowhere on

coinbase obviously people knew about it

before that and then they stopped cells

of all kinds so you can buy into Bitcoin

cash but you cannot sell it and that's

that creates a huge problem in a market

if you could only buy and not sell of

course the price is gonna rise to nine

thousand plus dollars and then when it

gets fixed and you can sell it all those

people that bought in at nine thousand

if they don't sell pretty much on the

millisecond they they lost potentially a

lot of money I mean some good news in

the crypto world charlie lee the creator

of light coin sold all of his light coin

stating that was a conflict of interest

so he got rid of all of it so nobody can

say anymore because uh on the on the

light coin reddit sometimes whatever he

makes an announcement and he says this

that or the other thing about light coin

on twitter the price goes up or goes

down and then people are furious with

Charlie Lee so Charlie leads a pretty

good guy overall I don't know him

personally obviously but for the most

part he's a pretty steady guy sticks to

his word and you know he's gotten in

trouble a few times because he says

something in advance about what's going

to happen to light coin and not

necessarily insider trading like oh the

price is gonna go up or down but he says

something about it and then the price

goes down and that kind of gets him in

trouble and so some people are thinking

well maybe all he has to do is say

something good or something bad

about litecoin just one tweet and the

price is gonna go up or down and he

could make money that way you know he

could say something good about it the

price is gonna go up he sells he says

something bad about it the price goes

down he buys so he's not in at he's not

in it he sold all of his light coin I

don't suppose we have any proof that he

sold all of his light coin but I kind of

believe him he's generally a pretty

honest guy and like I said his honesty

sometimes gets him in a little bit of

trouble on that

so that's some Bitcoin news also how

about some personal news so today I

tweeted at new egg that I had bought to

1080 tea eyes from them with Bitcoin so

what had happened was I used two

separate accounts because the particular

card that I was going to buy was a limit

one per customer I have a really

friendly neighbor so I was like you know

what I'm gonna ship one to your house

and ship when to my house and everything

will be good so I made two separate

accounts and I bought one ten atti on

one 110 atti

on the other with Bitcoin and turns out

both of my transactions were cancelled

and a new egg decided to say that I can

get a refund of Bitcoin because I

underpaid new egg however I paint the

exact price that was shown on new egg

what had happened was is the particular

car that I was going to buy and you can

look it up yourself it's the GTI

excuse me GT X 1080 TI turbo and it

comes with a free a free game and it's

destiny too and I really couldn't care

less about destiny - I have no intention

of playing it I just wanted the card

because it's only like a seven hundred

and nine dollar ten atti and it performs

just as well it might run a little bit

hotter because it's an SLI type card

with with a blower with an internal

blower so it'll run a little bit warmer

but not too big of a deal doesn't really

run particularly slower than any other

1080 TI so they're a pretty good deal so

what's the problem is is that when you

buy that with them with a debit card or

a credit card

it doesn't actually charge you that

$59.99 for that game but it sort of does

in the system but it never actually

charges your card and the reason why it

sort of does and the system is because

they have to actually tell their vendor

the creator of destiny to I don't know

if that's I don't even know who that is

honestly because I don't follow the

destiny games so that they can tell that

vendor hey we sold one of your games

here's the receipt here's you know the

purchase of that you know and so Newegg

has to do that as a business so when you

buy it with Bitcoin that's not the case

and they want the full amount but they

don't actually say that they

want the full amount really the the

total is much less then buying it with

with the with the game so they said that

I gave them insufficient funds sent them

insufficient Bitcoin so now I'm kind of

in a fiasco with them I have their

accounting team on the line and stuff

I'm sent them proof of purchase and

whatnot so I'm trying to get two gift

cards now from them so that I can buy

these individual cards now and the

reason why I don't want a refund of

Bitcoin is because of the downfall of

Bitcoin so one of the big problems with

Bitcoin is that and one of the the main

selling points of Bitcoin cash which I

still say that Bitcoin cash is a tumor

if he wants if you want a fast

cryptocurrency just use light coin or

vert Quine even etherium to some degree

but um so one of the one of the big

points of Bitcoin cash is that it has

low fees and faster transfers than

Bitcoin so for me to send approximately

seven hundred and fourteen or fifteen

dollars in Bitcoin for the the tax and

chipping and whatnot it cost me like a

thirty dollar Network fee and that's

twice so I paid about sixty dollars in

network fees just to buy these two cards

because my my Bitcoin was a little tied

up at the time and I'm actually a little

glad that I got rid of the Bitcoin in

time because now Bitcoin is down to I

think the last time I checked about

$13,000 so it's getting very very low

and so I got rid of it in time earlier

today however that sixty dollars is a

lot so now if they send that back to me

twice in those two separate transactions

that's gonna be another sixty dollars

and then if I really want to buy them

again with Bitcoin which I wouldn't do

it would be another it'd be another two

transactions another sixty dollars so I

told them they basically refused the

refund and I just want gift cards and

that's what they do in that case so I'm

waiting on that so if you're gonna go

onto Newegg and you're gonna buy with

Bitcoin really ensure

that you're buying a product that

doesn't have a free product that comes

with it so like say you buy like say in

my case you go to buy a graphics card

and it has a free $60 game for some

reason in their system it is not set up

that you're just gonna pay for that card

and it's just gonna take that price away

for some reason they want you to pay for

that card and if you did pay for that

car that one mean that you've overpaid

by about 30 or so dollars when it comes

to the network fees and the transactions

so you paid you overpay for the card if

you do that and then that would mean

that new egg has to refund you either

Bitcoin or a gift card a gift card

wouldn't be too bad but if they refunded

you Bitcoin it was it cost you like some

$30 in-network fees and that's one of

the main downfalls of Bitcoin so really

bitcoin is not used as a daily

transaction not uses a daily money sort

of thing it's really merely a store of

wealth at the moment and I do fear in

the future that Bitcoin will be

overtaken if it does not add lightning

networks or everybody adds seg wit or

something like that I know there are

downfalls to adding seg wit and

lightning networks and so it does kill

some of the some of the decentralization

when you add seg wit for faster lower

fee transactions because then that

actually has to make the nodes bigger

which eventually will only be able to be

on big servers because if you add

segwayed it makes the it makes the

blocks a lot bigger and eventually only

servers would be able to really keep up

with a node and then that ruins the

whole decentralization that ruins the

fact that you can run a node a Bitcoin

node on your computer and verify

transactions all around the world and

help it be a part of what makes Bitcoin

Bitcoin so I understand there are many

trade offs with Bitcoin left and right

you know if you go one way it's of

course it's gonna you're gonna sacrifice

one thing if you go the other way you're

gonna sacrifice the other thing so it's

really a trade-off but at the moment I

just don't feel that the Bitcoin I think

it's gonna last a little while I think

you know like once Wall Street kind of

gets into it and some major some major

extreme even even more so major

exchanges get into it of course it's

gonna go a bit bigger where it's gonna

go I don't really know but I think

sooner or later Bitcoin will die maybe

not die completely but it's going to

it's gonna get rocked sooner or later it

kind of is already happening in the

sense that litecoin is just so much

easier to use as a transaction and I

don't mean just like coin of course you

could use you can use mono coin or Verte

Colline or - whatever you want but right

now bitcoin is completely unusable I

read a story on reddit some guy went

into a bar and had 20 bucks worth of

drinks and he wanted to pay in Bitcoin

so yes DSD the bartender he says can I

pay in Bitcoin he says yeah sure why not

and what he goes to pay in Bitcoin it

turns out to be 50 dollars so there's 30

dollars and fees for a twenty dollar

drinking night and so when he said well

just give me that back I'll just pay

with a credit card you can't really do

that and so it turned into a couple hour

ordeal for him to get his point back or

for him to pay in the coin because he

says that you know when he goes to pay

in the coin it's not gonna verify for

two hours and so the bartender is like

well we don't have that time you know

it's late we don't have two hours to sit

around and verify a transaction whereas

if he would've did that with litecoin

the fee would be maybe a couple dollars

pretty low compared comparatively

and it would be verified much faster as

well so there are some downfalls to

Bitcoin so I'm kind of actually glad

that I got rid of my Bitcoin so I'm

actually going to be mining a lot more

I'm gonna start mining a little bit more

of course I'm gonna be I'm gonna be

trading as well I'm gonna be trading

back and forth because it's a great way

to make money it really is but if you

want to use Bitcoin it's a lot harder

than then it dish Elyse ounds that the

fees are outrageous

unbelievable so and that's especially

hard for

particularly hard for for example in

Venezuela the government's in in a bit

of turmoil right now there's huge

inflation and so their money is worth

virtually nothing

there's too much inflation so they're

all going to Bitcoin in various altcoins

so if they had Bitcoin in Venezuela and

then you want to buy your groceries with

it and you have to pay $30 in

transaction fees 30 American dollars in

terms of Venezuelan dollars is huge so

it's simply unusable and when they say

that it's unusable it's true and Bitcoin

bitcoin cash hills will tell you that it

that bitcoin is is unusable and they're

not wrong when they say that so you know

I don't really like Bitcoin cash because

I think it's just sort of a tumor it's

caused way too many crashes and dips

it's caused way too much drama Roger ver

is is really just a big tool he's a big

human tool and in everybody nobody

really likes Roger ver I can't say that

I've ever met a person that likes Roger

ver but I'm sure his million dollar bank

account doesn't care so in the same way

that you know if you don't like a

celebrity well he just flashes this

forty million dollar bank account and

says this is how much I care with my

forty million dollars like I don't care

what your opinion is about me because

I'm a millionaire so what does it matter

so hopefully you guys take that into

consideration and maybe start trading

like going a little bit more or Verte

Colline or even mona coin you know the

course there's - and aetherium is okay

too but even the etherium fees are

starting to get a little bit high but i

hope you guys enjoyed this video I

wanted to make it just a short little

news video on a simple and just wanted

to tell you guys why everything's kind

of crashing is that there's a lot of

uncertainty right now and with Bitcoin

cash going on to coin base which is

easily the biggest exchange it's huge

compared to everybody else there is tons

there's tens of thousands of new signups

every day from just regular old people's

wanting to get into cryptocurrency and

there's nothing wrong with

but the problem is is that it popped up

out of nowhere it was scheduled for

January first and so that means that

everybody is preparing for January 1st

so there might be like a I got a few

extra days before I can buy some Bitcoin

cash before it goes onto G Dax before I

can you know make some profit with that

but then it just appears poof out of

nowhere and with no warning no tweet no

email nothing and then they shut down

selling so that it just jacks up the

price so there was huge insider trading

there has to be it's it's it's somewhere

there was insider trading one way or

another and so that is definitely not

good so then when everybody sees in and

just imagine if you're really new to the

Bitcoin cryptocurrency world and you see

Bitcoin cash pop up let's actually look

at it on G Dax I wonder if it's normal

looking right now that GD X has had a

lot of odd issues here oops yeah right

now it's a little messed up looking but

so when it first came out it was just

rising it was huge what if we can go

just an hour back or six hours here and

it was huge look how far look how high

it got nine thousand five hundred and

twenty-four dollars so that means

somebody somewhere paid nine thousand

five hundred twenty four dollars for

Bitcoin cash something that's not worth

not even really worth twenty four

hundred dollars if you ask me it's not

even worth that I'd say maybe four

hundred dollars per coin it should be

worth five hundred so it's worth nothing

nowhere near nine thousand ninety five

hundred and so that is where coinbase

this is exactly why coin base is in a

little bit of hot water right now and

everybody seen this going up and at

first it was really really low so when

it first was put on 2g tax it was at

three thousand dollars so when people

see this bch they think there's a great

deal they think maybe bitcoin maybe they

think that was Bitcoin and they see

Bitcoin at three thousand dollars when

it first came out now if Bitcoin fell

down to three thousand dollars there

would be a buying frenzy and it would

just go right back up it wouldn't be

able to go down any lower

because it would be bought up well

before it reached 3000 so a ton of

newbies if you will bought into Bitcoin

cash thinking that it may have been

Bitcoin thinking they maybe could make a

quick buck and they bought it all the

way up because it came out of nowhere

there was no warning so that is the

reason so if you're wondering why all

the crypto currencies are way way way

down look twenty five percent twenty two

percent twenty five twenty so that's the

reason why I hope you guys enjoyed this

video stay tuned for more action and I

hope you guys enjoyed it see you guys

next time