Bitcoin’s price dropped below $10,000 for the second time this month as the Crypto market continues to struggle.
Bitcoin which started the month at $14,000 has since recovered slightly and is currently at $10,349 (according to coinmarket.com). Bitcoin still looks bearish and could again fall below the $10,000 before the end of the day.
Many of the top Crypto’s have seen big drops in recent weeks which cannot be pinpointed to any one reason. Global government clamp down and regulations (as we predicted towards the end of 2017), have impacted the market. Exchanges being hacked, the Tether scandal, profit taking and fear of the Crypto bubble have also added to a big price reduction in the market.
Many investors are also cashing in on profits before the end of the financial year.
Ripple’s XRP has seen its price slashed from $3.81 to $1.13 this month, whilst there have been gains for NEO and GAS.
Ethereum has also seen gains of almost 50% despite recent dips.
We must also keep in mind that the growth towards the end of 2017 was astronomical. Dips and pull backs are common place, especially in a market that is extremely volatile. Crypto’s are still finding their feet. Governments and big institutions are trying to figure out the best way to deal with this new advancement.
Whether we like it or not more regulation will be introduced this year; exchanges will have to carry out proper ID checks and follow compliance procedures. This does not mean that the value of Crypto’s cannot continue to rise in the long term.
If you are holding Crypto’s, make sure they are stored safely and securely. Please also be wary of Crypto’s that have no real use. Conduct your research, read the white paper of each Crypto you are thinking of purchasing, and of course keep visiting us here at Enter the Crypto!
We are not investment or financial advisors and are here to provide news and our opinions. Please be fully informed regarding the risks and costs associated with trading the financial markets and the Cryptocurrency market, it is one of the riskiest investment forms possible.