It seems to me derivatives are having a massive influence on the price fluctuations in Bitcoin. People use massive leverage and get liquidated on both ends of the trade.
Last 24hour volume for bitcoin was around 23B and futures volume was over 4B. Not catastrophic but that doesn't include options or margin trading that exchanges are offering.
As always it seems gamblers and chart nerds set the price in the short term and hodlers set the price in the long term.
I agree.
Speculators in the market are what cause the massive swings in bitcoin, but the over all upward trend in bitcoin in the long term is because of the continuous stacking of long term holders.
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