Bitcoin price: Why is Bitcoin BTC falling today? Will it continue to fall?
The world biggest and best-known cryptocurrency slumped below the symbolic $10,000 threshold yesterday (Wednesday February 1), but its value crashed further overnight to about $8,600.
Bitcoin has fallen by more than 56 percent since the turn of the year, after peaking at nearly $20,000 in December 2017.
CoinMarketCap price charts show that bitcoin has been falling for weeks, though this latest crash has been blamed on mounting confusion surrounding the Indian Government’s stance on cryptocurrencies.
Yesterday, the Finance Minister Arun Jaitley spooked investors when he announced plans to “eliminate” the use of digital currencies for payment purposes.
He said: “The Government does not consider cryptocurrencies legal tender or coin and will take all measures to eliminate use of these crypto-assets in financing illegitimate activities or as part of the payment system.
“The Government will explore use of blockchain technology proactively for ushering in digital economy.”
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Ajeet Khurana, head of the Blockchain and Cryptocurrency Committee of India (BACC), has clarified the situation somewhat, arguing that cryptocurrencies are just not part of the “payment system”.
In an interview with Your Story, he said: “The payments system includes a lot of things like the settlement mechanism, and the banking system. In recent times, digital wallets and other payment mechanisms have been added to the entire scenario.
“What the Finance Minister might be saying is that cryptocurrency is not considered to be a part of these payment systems.
“Similarly, gold is not part of a payment system, but people still barter assets like gold for goods, as long as both parties record the transaction. It is an asset barter transaction.
“There is a little subjectivity on the matter. Can an individual swap cryptocurrency for another cryptocurrency?
“We have to wait for clarification on what the Finance Minister meant when he mentioned payment system.”
From my point of view this is all smart FUD. If you think about it. Last year it was China banning ICOs that caused the dip. Or like how the transaction fees with has been fixed thanks to segwit caused another huge dip.
How it’s India’s turn. The more FUD that surrounds Bitcoins n Cryptos in general the more publicity for us. Personally am buying the dip. If it keeps falling I’d keep averaging down my position this is another chance of a lifetime don’t be too scared to take it.
This post is for the people who will get affected by the regulations and the budget declared by the government, i.e . for the people of India.
A coin has got two sides to it i.e. it's value either rises or falls.
Everyone has got head to decide whether to invest or not.
Feel free to purchase it , I haven't mentioned anywhere that one should stop investing all of a sudden.