Official Bitcoin Thread

[Grine]

LoL

Says the dude that sold his LTC ATH.

I should of have follow suit and started over.

 

[rman402]

I feel for those who bought ltc in the $300s /QUOTE]


Raises hand in shame.

 

[bigkel23]

Could we be in purgatory?

https://www.chepicap.com/en/news/2814/how-to-know-when-to-sell-during-a-bull-run.html

 

[keko jones]

At 200+ I went heavily on LTC.

I can stomach it and I should be putting in more now, but **** happens and I'm not dumping.

 

[boxybrown]

See, this is what I don't get. Either you cash out and take your losses or you stay in? Unless you have to put food on the table or something, why not wait and see if it goes back up? People on Reddit talk about dumping all the time when their 50k is worth 4. I thought we were supposed to only invest the money we are willing to lose?

 

[BIG LEEMELONE]

I'm curious about what happens if we make it to February with no etf. Done dada?

 

[fluid hips]

People will do anything to go viral these days

 

[Betonblck]

So is anyone else BUYING right now? On reddit, it seems everyone is jumping ship, but to me this screams buy everything. The goal for me was to get 10 neo asap and with it dropping every day, i'm grabbing more and more.

Most people don't have that kind of appetite for risk to buy something heavy that's down over 70% and continues to drop 10-15% week after week. Neo is $15 now and you could buy it now and next week it could be down to $5.

 

[putting in work]

Word I have to say even though I'm tempted to buy... always in the back of my mind I think it will drop lower, and I think that's how a lot of people are thinking and not investing also.

I got greedy as I said I got on the crypto last March and just put a few thousands, and was up like crazy when the bull run happened and got greedy and put more money into it and then the market just dropped.

All my profits was wiped out from when I bought during the bull run.

 

[EddieDoyers]

See, this is what I don't get. Either you cash out and take your losses or you stay in? Unless you have to put food on the table or something, why not wait and see if it goes back up? People on Reddit talk about dumping all the time when their 50k is worth 4. I thought we were supposed to only invest the money we are willing to lose?

This has been reiterated plenty times in thread during the boom.
Anyway, I have lived by the adage of buying low and selling high. So far haven’t been burned by that philosophy granted I haven’t invested more than I can actually stomach.

 

[johnnyredstorm]

I’d be starting in if I had the money but my bills are high this month. Hoping prices go further and I can take advantage next month.

 

[dblplay1212]

He took out a $400k loan to invest in Bitcoin.

 

[oidreez]

So can someone explain why the altcoins are falling harder than bitcoin?

 

[degenerate423]

Please explain.

They’re [banks] still exposing themselves to subprime loans. Might not be in the same fashion [direct lending] or amount as in 2008, but it’s still happening. Here’s an article from a couple months ago: https://www.cnbc.com/2018/04/10/big...to-stay-in-the-subprime-lending-business.html.

 

[dblplay1212]

They’re [banks] still exposing themselves to subprime loans. Might not be in the same fashion [direct lending] or amount as in 2008, but it’s still happening. Here’s an article from a couple months ago: https://www.cnbc.com/2018/04/10/big...to-stay-in-the-subprime-lending-business.html.

It's nothing remotely close to the 2000's. Back then you could have a 450 credit score and not be able to prove any income and buy a house with no money down. Now a couple banks are going down to 550-560 or so (keep in mind FHA goes to 580 so 560 isn't THAT low). The difference is now the income/asset requirements are very strict. Their credit profile may show it's a risk but at least they have the income to pay it. Doesn't mean they will, but we know they can. In the 2000's people got loans they couldn't pay for from day 1. There's a local shop here that started doing it in the last year. They require 20% down on every purchase (Fannie/Freddie is 5% and FHA is 3.5%), 12 months cash reserves (12 months house payments), and will only go to 45% DTI (Fannie/Freddie/FHA go to 50%). They'll go to 550 credit score if you can show all of that. The risk on that loan is very very low. Lower than a 620 with 5% down on a conventional mortgage. If it goes bad in a year, they still have the 20% down payment to make up for any losses they incur selling the house.

In summary, subprime loans aren't a bad investment if the proper risk management is taken. It's no income/no assets on a 450 with 0% down that was the issue.

 

[degenerate423]

It's nothing remotely close to the 2000's. Back then you could have a 450 credit score and not be able to prove any income and buy a house with no money down. Now a couple banks are going down to 550-560 or so (keep in mind FHA goes to 580 so 560 isn't THAT low). The difference is now the income/asset requirements are very strict. Their credit profile may show it's a risk but at least they have the income to pay it. Doesn't mean they will, but we know they can. In the 2000's people got loans they couldn't pay for from day 1. There's a local shop here that started doing it in the last year. They require 20% down on every purchase (Fannie/Freddie is 5% and FHA is 3.5%), 12 months cash reserves (12 months house payments), and will only go to 45% DTI (Fannie/Freddie/FHA go to 50%). They'll go to 550 credit score if you can show all of that. The risk on that loan is very very low. Lower than a 620 with 5% down on a conventional mortgage. If it goes bad in a year, they still have the 20% down payment to make up for any losses they incur selling the house.

In summary, subprime loans aren't a bad investment if the proper risk management is taken. It's no income/no assets on a 450 with 0% down that was the issue.

We can agree to disagree.

 

[dblplay1212]

We can agree to disagree.

There's no opinion here, it's actual fact. There's nothing to disagree with. Credit score is not the sole risk factor. If you mitigate in other areas, credit score doesn't matter. Grading risk on a file solely off credit score is beyond dumb.

 

[dblplay1212]

Sorry if I sound like an *******, I just get irked when people that have no clue what they are talking about try to discuss a subject, especially one I deal with daily. The entire housing collapse got blamed on "subprime loans" rather than "the loose lending environment for subprime loans." If they are mitigated correctly, subprime loans can be a huge money maker. But let's be honest, the amount of people with a sub 580 credit score that have 20% cash down and 12 months cash reserves is very low. It's a very small market. It was massive with no money down and no assets needed, but that's not the case now. It's silly to think that small market is going to bring the market down, especially when you factor in there's zero risk for the bank bc they have 20% down to mitigate any losses they incur if the loan goes bad.

 

[degenerate423]

It's silly to think that small market is going to bring the market down, especially when you factor in there's zero risk for the bank bc they have 20% down to mitigate any losses they incur if the loan goes bad.

No one even stated or implied this. All I’m saying is there IS a housing bubble and people that have no business getting loans for houses are getting them. I even said it’s not as big as the 2008 one, but to ignore the risk or act like these banks are being EXTRA careful is laughable. That’s all I’m saying on this. Back to the crypto talk, please.

 

[sharpshooter718]

I bought ltc from Dec of last year til last week... smh...

Been buying a little bit at a time... but I'm about to go in a get a few more since it's so cheap right now... but it can always be cheaper...

Im sure we're all down a grip but this is what gives you joy when things turn around... these past few months of throwing money down the drain will be looked back as some of the dumbest most couragest thing a man can do... I'm sure most of the people who got in bitcoin at 19k or 15k hate themselves. People took out loans and refinanced homes ATH to make some profit... now they gotta either sell or wait it out.. idk if the banks is gonna wait for that interest to start kicking in.

yeah I'm down a few Gs but it's just fiat .. contemplating putting a portion of my savings in within the next week or so, these prices are too good... but it could be a trap...idk.

 

[dblplay1212]

No one even stated or implied this. All I’m saying is there IS a housing bubble and people that have no business getting loans for houses are getting them. I even said it’s not as big as the 2008 one, but to ignore the risk or act like these banks are being EXTRA careful is laughable. That’s all I’m saying on this. Back to the crypto talk, please.

But they ARE being extra careful. That's the part you aren't grasping. You, like most people that aren't in the business, think credit score is all that matters. It's not. There's several other factors that can make a credit score moot. It's all about mitigating risk and the banks are doing that now.

Example: Guy makes $250k a year in w2 income. He battled cancer 3 years ago and medical bills killed his credit so he's about a 550. He's never been late on anything else, including his current home loan that he's had for 15 years. He wants to buy a $400k house. He's going to sell his house and use proceeds from the sale + cash to put $100k down on the house. He has $20k in savings and $300k in a 401k.

You look at his 550 credit score and say he has no business owning a house. I look at the 25% cash down and assets. I'm going to give him that loan. If for some reason it goes bad in 2 years and the bank has to sell it, they'll net at least $300k on the sale and they still have the $100k to make them whole. The risk is very very small to the bank. He's going to get a high rate and the bank ends up making more off him than they would the average loan.

The days of a stripper with no bank account and a 450 credit score getting a loan are long gone. The segment of people that can qualify for a subprime loan today are very small. There's not a ton of people with super low credit scores but tons of cash and assets. Usually there's a reason for the low score.

Again, don't judge a loan off the credit score. Judge it off the entire risk factors and price it accordingly.

 

[degenerate423]

But they ARE being extra careful. That's the part you aren't grasping. You, like most people that aren't in the business, think credit score is all that matters.

Where did I say this?

 

[dblplay1212]

Where did I say this?

Your responded to this post:

Housing bubble is people buying houses, artificially inflating the value because of the access of easy loans with no credit or down payment and not having the money to keep it. I don’t see that being the case here.

by saying it was happening bc you read a few articles on the internet that said banks are doing subprime loans. All subprime loans aren't equal. That's what you can't grasp. Doing subprime loans isn't a bad thing. Doing subprime loans with no income/asset requirements is. Subprime loans have always been there. In the mid 2000's the requirements for them were lowered. That's where the issue is. Banks doing subprime loans today with the requirements in place is not an issue.

 

[oidreez]

Not sure if in crypto or housing thread

 

[degenerate423]

by saying it was happening bc you read a few articles on the internet that said banks are doing subprime loans. All subprime loans aren't equal. That's what you can't grasp.

You inferred a lot from ONE article I posted , but if I’m wrong and we don’t hear about these subprime loans again then I will admit I’m wrong.