Following Jamie Dimon’s statement in which he called Bitcoin a fraud and the Chinese crackdown on new cryptocurrency ICO’s, the price of Bitcoin paused, then went into free fall Thursday night (170915). From Tuesday’s $4354 price Bitcoin fell steadily to last night’s low of $2989, more than a 30% drop. It seemed that everyone was waiting to see where this would go. Was Bitcoin broken? Was Jamie Dimon prescient in his condemnation? Was this the beginning of the end? True believers, however, were just waiting for a logical entry point to buy more. Were people selling to get out permanently, or with the intent of buying back in at a lower price? Where was the army of Bitcoin fanatics who have been screaming since the run-up this summer from $2400 to $4000 that they wish Bitcoin would retrench and give them one last opportunity to invest before it left a vapor trail in its wake into the stratosphere?
Well, Jamie Dimon, it appears, is not calling the shots here. And, the Chinese will not sit idly by while the rest of the world is profiting mightily with Bitcoin. Bitcoin, as soon as its prices started to show signs of life, started bidding up again like crazy. At 2:23 am EST Bitcoin was $2989. By 10:00 am EST Bitcoin was $3683. A 23% recovery.