Quote from: Slunt on August 28, 2015, 04:12:07 PM

Quote from: jackg on August 28, 2015, 03:28:04 PM

Why does the bitcoin price seem to follow the stock market?
When the internation stock marker fell from the prblems with china's economy, why did it have such an affect on the bitcoin to force ti to fall by £50 (around $80)

People always try to find reasons for why the price goes down or up, but its always just down to supply and demand and people either panic selling or buying. I wouldn't sweat the short term fluctuations.

Events can affect the price, like when the Chinese "banned" Bitcoin in early 2014. The price plummeted, but afterwards it turned out Bitcoin wasn't actually banned in China, they just made it harder to buy and trade there. I think the latest crash was due to the XT drama, the Bitfinex bugs and downtime, and possibly a bit to do with the Chinese stock market crash. The Chinese who lost everything on the stock market may have dumped Bitcoins because they needed money quickly. There must have been some Chinese who held both stocks and Bitcoins.