The Downfall Of Bitcoin Is Happening Again- Reasons And Why?
For the recent months, the market has seen some pretty ups and downs for the bitcoin value, and as per recent graphs, it is down again. This is complete lousy news for the short term holders out there, and good news for the long term acquires. Bitcoin and cryptocurrency holders had their hopes high for the recent investment that they did, but due to the sudden dash and fall, their dreams are now crashing to the ground.
What is bitcoin trading?
For recent years, bitcoin has evolved a lot in the market. Turned into a speculative investment for marketers based all around the world, bitcoin is an alternative asset and a possible hedge for the global uncertainties in fiat currencies. It is a digital floating currency that is used by investors when they are trading online. They are the most valuable cryptocurrency of all time, and they are purchased on almost every exchange. They were first launched in the year 2009, and starting from then, it gained a steady lead into the investment market. And now, it is the top cryptocurrency to be used by every kind of investor — investors who Trading beginnen can value much from this digital currency for their business in the long run.
The current value of the bitcoin went down to as much as 15% to $7.944, and it has been seeing its lowest level since the mid of June. Brain Kelly who is the CEO of the BKCM had informed the CNBC news and have said that $9000 was a significant support level, and when the current value of bitcoin went below it, there was a wave of selling triggered into the market. Different types of coins were also affected, and as such, Litecoin was the victim who went down to about 20% in altogether.
Analysts and their special remarks have commented on this situation, and they have pointed out a variety of factors for the significant dip which took place. They have said that the cryptocurrency has broken down a critical level of resistance, and this is the primary reason why bitcoin has suffered a value loss in the market.
The price went down just after the International Exchange, or the parent company of the New York Stock Exchange launched their future bitcoin endeavors. Joe DiPasquale, who is the CEO of the BitBull capital have pointed out at this situated and have commented, saying that the price dip happened for the reception of the new derivatives of the bitcoin which was going to be introduced in the market. The hash rate of the new network of bitcoin was suddenly decreased as well, and it was pointed out by him.
Is the sudden breakdown suitable for the investors?
As pointed out before, with the help of this article, the sudden breakdown in the bitcoin market is bearish. Bearish for the long term investors and on their particular acquisitions but not so suitable for the short term investors into the market. The market is currently moving up to the average, and they are only giving a massive sell below the higher price value. It is not a good scenario for a hugely volatile market at all.
What is the future of bitcoin now?
The condition and the picture is pretty clear now. Bitcoin is currently moving to the capitulation. To reverse this situation, there is a need for a catalyst, but there is nothing in sight for the investors. And for the present, the investors have to dwell on the loss unless a better solution is drafted out.