Fear Of Regulation Is The Reason Behind Crypto Market Crash?
As Regulators say crypto-currencies are highly speculative and dangerous investments, retail investors are withdrawing their money from their crypto wallets , which is pushing the prices down...
On Thursday, India declared to eradicate the use of crypto-currencies completely, joining China and South Korea in promising to banning ICO's and regulating crypto-currency investments and trading.
Facebook this week said that it would ban all cryptocurrency ads because many were associated with misleading promotional practices.
US regulators have put biggest cryptocurrency players like, Bitfinex and Tether in dark clouds.
Earlier this week, a massive $530 million hack of a Japanese cryptocurrency exchange renewed worries about the security of the industry and proves that the technology is still very immature.
But supporters of crypto-currencies still say that short-term price volatility is to be expected, and the blockchain technology underpinning these assets maintains its power and value.
If you trace back to 2011 and including the current sell-off, bitcoin’s price has been halved nine times before recovering. The last time was from January 2015.
So, just don't panic in this difficult time, every government is trying hard to bring the whole virtual currency space into their radar. Till then wait for the clarity from the government and watch their actions before making any investments in crypto-currency.
What do you think among the reasons mentioned are bringing the prices down? Share your thoughts in comments...
I think one of the big things bringing the price down is too many people spreading mis-information or partial information via social media.
Take this post for example, you mention the hack of $530M worth of NEM but you failed to mention that the exchange reimbursed those accounts that were hacked.
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Yes, i agree there is lot of fake news and rumors spreading around...and true Coincheck has promised to refund but as of now nothing is implemented...how fragile is this market which is collapsing on partial news...
the concerns of the government could be a reason, in feared destroyed the economy of a country with crypto money, there is one government solution with tax
True!
The depreciation of bitcoin was influenced by a message from India, whose authorities want to ban cryptocurrency trading in their territory, as they consider them illegal means of payment. Bitcoin price crashes were also due to changes in regulation in this sphere in South Korea.
And the main reason for the ban advertising of crypto-currencies, the social network Facebook.
Agreed...
Well all these news will just influence the markets for a few months or so. Then we will see other tremendous highs. It wasn't a real "bubble" yet. For this the BTC Price should hit sth like at least 50k - 60k.
I hope so..
As for me it is fear of what is going on in some nations in regards to rejecting crypto that is making many investors to with hold their cash. Thank you @hm818 for sharing.
You got a 1.76% upvote from @mercurybot courtesy of @hms818!
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