Bitcoin Falls below $10,000 - Finding Reasons For Cryptocurrency Price Drops is Pointless
Bitcoin miners and investors have definitely had a really bad day today. The price of bitcoin has suffered a major fall, decreasing below $10,000. This is the lowest value of the cryptocurrency in 2018.
The cryptocurrency market suffered a major fall this week
Not only bitcoin has been dealing with a constant decrease, but the whole cryptocurrency market has been affected. Actually, the cryptocurrency market has suffered decreases for a few days and the trend continued today, when bitcoin reached its lowest level of 2018. In this context it is also important to mention that the cryptocurrency market cap has decreased to below $500 billion.
Bitfinex listed the price of bitcoin at the lowest level of $9,663. Bitcoin's price last decreased below $10,000 on December 1, 2017. Of course, soon after the massive fall, bitcoin was able to regain some ground and it grew to over $10,000. At the moment, the price of bitcoin is $10,116 on Coin Market Cap. The market cap of the cryptocurrency is listed at around $170 billion.
What led to the new decrease in bitcoin's price?
There are a series of factors which might have contributed to the decrease in bitcoin's price. Among these factors are the partial bans that the cryptocurrency market has suffered in both China and South Korea. The two countries have decided to impose stricter conditions on the market, also introducing or planning to introduce some bans.
If these legal developments in these countries are reason enough for this massive fall in the price of bitcoin or not is something that is yet to be determined.
Some analysts claimed that the fall cannot be justified only by these factors, claiming that this market's volatility is so high that finding reasons for price drops is not possible.
Well, bitcoin has suffered other major falls in the past and has always managed to gain back its value. It is yet to see how the cryptocurrency market will evolve in the future.