Crypto crash: bitcoin drops to lowest point since November

Crypto crash: bitcoin drops to lowest point since November

Bitcoin suffered its third price crash in two weeks this morning, falling below the $8,000 (PS5,700) per coin mark.

The cryptocurrency’s value has dropped by a total of 30% this week and is at its lowest price since November, Reuters reports. Other digital currencies, such as Ripple and Ethereum, have also suffered “double-digit declines in the last 24 hours”.

The cryptocurrency’s value has dropped by a total of 30% this week and is at its lowest price since November,

reports. Other digital currencies, such as Ripple and Ethereum, have also suffered “double-digit declines in the last 24 hours”.

It is believed that Facebook’s decision to ban all cryptocurrency adverts from its network, and “a growing regulatory backlash” from countries such as China and South Korea, have led to mass sell-offs by investors over the past two weeks, the news site says.

The price crash is “a jarring turnaround” for the cryptocurrency market, says The Verge . Bitcoin reached an all-time high of $20,000 (PS14,100) per coin in December.

However, according to The Independent , bitcoin is “still up 2,520% over the last year”, with the recent price crash “simply undoing all of the incredibly fast surge traders saw at the end of last year”.

, bitcoin is “still up 2,520% over the last year”, with the recent price crash “simply undoing all of the incredibly fast surge traders saw at the end of last year”.

The cryptocurrency market has dropped sharply over the past two days, with the value of popular coins including bitcoin and Ethereum dropping by up to 20%.

The crash has been attributed to the South Korean government’s new plans to “crack down” on virtual currency trading, which has led to “a sell-off across the market globally”, says BBC News .

The crash has been attributed to the South Korean government’s new plans to “crack down” on virtual currency trading, which has led to “a sell-off across the market globally”, says

Bitcoin’s value, which hit $20,000 (PS14,500) per token in December, tumbled as low as $10,000 (PS7,300) on Wednesday morning.

Ethereum and the bank-focused coin Ripple also plunged in value, says Reuters , as the news from South Korea fuelled “worries of a wider regulatory crackdown”.

Shuhei Fujise, an analyst at Alt Design, told the news site: “Cryptocurrencies could be capped in the current quarter ahead of G20 meeting in March, where policymakers could discuss tighter regulations.”

China and Germany have also indicated they are preparing crackdowns on digital currencies , The Daily Telegraph reports.

This is by no means the first crash to hit virtual coins. A similar slump occurred in September when China banned start-up cryptocurrencies – known as initial coin offerings (ICOs).

The market then rebounded, with digital tokens reaching record prices between December and the first week of January.

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While a “Santa Claus” rally appears to be underway in the stock market, cryptocurrencies just got a visit from the Grinch.

Bitcoin and virtually all of its major rivals saw their prices plunge Friday, as the cryptocurrency bubble appears to be bursting.

Bitcoin prices sank from around $16,000 on Thursday to below $10,900 early Friday morning, before recovering somewhat to $12,000. Since peaking near $20,000 at the start of the week, the world’s largest cryptocurrency has lost around 40% of its value.

from around $16,000 on Thursday to below $10,900 early Friday morning, before recovering somewhat to $12,000. Since peaking near $20,000 at the start of the week, the world’s largest cryptocurrency has lost around 40% of its value.

Rival Ethereum saw the price of an ether token slip from as high as $793 on Thursday to as low as $491 Friday morning, before bouncing back to around $600. Even with the rebound, the digital currency was still down more than 20% for the day. The same goes for Litecoin (down 20%) and Ripple (down 18%).

The bullish take: This could be profit-taking among really short-term investors who just recently bet on cryptocurrencies to turn a quick profit.

“We see the exit of short-term speculators and we have seen it before,” Michael Jackson, partner at venture capital firm Mangrove Capital Partners, told CNBC . “The vast majority of long-term holders of bitcoin are still way in the money and have shown no sign of cashing out.”

“We see the exit of short-term speculators and we have seen it before,” Michael Jackson, partner at venture capital firm Mangrove Capital Partners,

. “The vast majority of long-term holders of bitcoin are still way in the money and have shown no sign of cashing out.”

While it’s true that pullbacks can be a healthy thing for market rallies in general — as they drive out buyers with weak conviction, leaving a stronger base of “true believers” — that’s not likely to happen here. In fact, you should expect even more volatility and sell-offs going forward.

Why? This week’s plunge in most of the major digital currencies coincides with the start of widespread trading in bitcoin futures contracts on the Chicago Mercantile Exchange, the world’s largest futures exchange.

Why? This week’s plunge in most of the major digital currencies coincides with the start of widespread trading in

This means that for the first time, investors can bet on and against bitcoin prices, creating a potential downdraft for bitcoin. ( Bitcoin futures on the CME were also down around 15% on Friday).

What’s more, the growing popularity of cryptocurrencies in general is attracting a different type of investor.

In the early stages of the cryptocurrency boom, most investors were true believers who either intended to use bitcoin as currency (and therefore had a vested interest in its appreciation) or were buying the currencies for short-term gains (and were also rooting for rising prices).

Now, a wider audience is being drawn in, including institutional investors who stand to profit whether bitcoin prices go up or down.

Just this morning, Bloomberg reported that the investment bank Goldman Sachs plans to set up a cryptocurrency trading desk. Other major banks and hedge funds are likely to follow suit, creating an entirely new class of investors who don’t care if prices fall as long as they’re on the right side of the trade.

plans to set up a cryptocurrency trading desk. Other major banks and hedge funds are likely to follow suit, creating an entirely new class of investors who don’t care if prices fall as long as they’re on the right side of the trade.

Meanwhile, as the nature of cryptocurrency demand changes, supply is growing. Bitcoin is no longer the only major player in this space. Ethereum, Ripple, Litecoin, IOTA, Cardano, Dash are all gaining traction. More supply thanks to this so-called Alt-coin boom means that even a slight drop off in demand could bring prices down going forward.

Meanwhile, as the nature of cryptocurrency demand changes, supply is growing. Bitcoin is no longer the only major player in this space. Ethereum, Ripple, Litecoin, IOTA, Cardano, Dash are all gaining traction. More supply thanks to this so-called

In fact, the Internal Revenue Service classifies bitcoin as “property,” meaning it’s subject to capital gains taxes like stocks are.

What makes a currency a currency is that it can be used effectively and efficiently for financial transactions and that it’s a reliable ” store of value .”

What makes a currency a currency is that it can be used effectively and efficiently for financial transactions and that it’s a reliable “

The fact that bitcoin’s value surged nearly 20 fold between the start of the year and last week — and then fell 40% last week — shows it doesn’t fit the latter definition.

As for the former, when’s the last time you really bought anything with a bitcoin, or an ether, or Ripple’s XRP token?


See Also : BITCOIN price LIVE Coin price slips as China plans orderly exit from Bitcoin mining

Popular messaging client Telegram could be preparing to launch its very own blockchain platform to rival bitcoin, ripple and ethereum a report has revealed.

Sources have told Tech Crunch that the new “Telegram Open Network” (TON) promises to develop a “third generation” of blockchain technology.

A cryptocurrency based around the popular encrypted messaging app could potentially allow users to transfer money across borders privately and discreetly, while avoiding high fees.

According to Tech Crunch, Telegram is now looking to raise as much as $368million ($500million) in pre-saes for a potential token value of PS2.2 ($3billion) to PS3.6 ($5billion).

The threat of Government regulation could damage bitcoin’s decentralised status and cause prices to plummet, according to investment strategist Lilian Chovin.

She said: “Demand for a decentralised and ungoverned asset was always going to be attractive in a world where faith in institutions is at a record low.

“But as cryptocurrencies are seen by many as a way to evade taxes and fund fraudulent or criminal activity, the principal threat that we see to their widespread adoption is government intervention.”

Bitcoin prices infamously dropped by 11 percent after South Korea’s bitcoin regulatory measures clamped down on the crypto token.

The expert added: “Countries like Israel, Russia or Sweden among others are thought to be examining the possibility of having a state sponsored cryptocurrency.

“If Bitcoin’s value was mainly derived from its use as a means of circumnavigating regulation, its value is unlikely to stay high for long.”

The price of bitcoin has fallen below the $15,00 again, registering a price at the time of press of $1,4718 (PS10,867).

With Ripple now valued at $2.55 (PS1.88) a token but with a market cap of $98,645,745,829.85 (72,853,829,124) industry experts are rushing to explain why it offers such a threat to bitcoin’s crypto hegemony.

“Ripple’s somewhat controversial here in the decentralised world because Ripple is a centralised currency. It was pre-mined 100 percent by the Ripple company.

“Now what they’ve done to alleviate a lot of those fears is they’ve locked up a lot of the Ripple that they own.”

As Ripple, or XRP, continues to rise and rise it has been revealed that the price only needs to hit $6.80 (PS5) for its market capitalisation to becomes bigger than bitcoin’s.

This would mark a staggering 165 per cent price increase that would seem unlikely if ripple hadn’t already seen a 35,000 per cent price surge in 2017

Ethereum would only need to rise 132 per cent from its current price to surpass bitcoin, but ripple has far more coins in circulation.

Bitcoin’s price has fallen to $15,465, a $277 dollar loss on the day so far, as Ethereum continues its steady rise hitting $1,159 at the time of press.

CEO of NextBlock Global, Alex Tapscott has warned that bitcoin might be the first of the cryptocurrencies and its underlying blockchain technology, but that does not mean it will be the most important.

Speaking to Bloomberg, the founder of the blockchain investment company said: “I think bitcoin is the first killer application for the underlying blockchain technology, in the same way that email is the first killer application for the internet.

“Email is this amazingly powerful tool but it wasn’t the last thing that the internet did and arguably not even the most important.”

Mr Tapscott said that new cryptocurrencies like ethereum are building on the underlying blockchain technology, making them more useful that bitcoin.

Dogecoin a cryptocurrency created as a joke and named after an internet meme now has a market value of more than $2 billion .

With the alternative digital currency trading at $0.018773 this weekend, its market capitalisation (total value of a company’s outstanding shares) stands at $2.12 billion, according to CoinMarketCap.

The parody coin was named after an internet meme featuring a Shiba Inu dog and had largely been forgotten about since its heyday in 2014.

However over the last month the cryptocurrency’s price has skyrocketed, rising by more than 400 percent, hitting an all-time high above $0.01.

Jackson Palmer told Coindesk, a website that tracks cryptocurrency news and prices, that he had faith in the development team behind dogecoin’s technology, but that it “says a lot about the state of the cryptocurrency space in general that a currency with a dog on it which hasn’t released a software update in over two years has a $1bn-plus market cap”.

He added that the fact that most conversations about cryptocurrencies in the media concern investment and the potential to make money “draws attention away from the underlying technology and goals this movement was based on”.

8.46am – UPDATE – Utah Division of Securities says ‘We see a lot of fraudsters capitalising on this fad’

The Utah Division of Securities has warned investors that cryptocurrencies like bitcoin, ethereum and ripple are risky investments, often used for fraud.

The division has released information to warn consumers about schemes that may target individuals’ retirement savings.

“Utah’s reputation as a technically savvy and connected state makes our population ripe for cryptocurrency fraud,” he said. “While it’s a compliment to our population for being plugged into what’s trending, internet hype can lead to rash decisions.

“Things that tend to go up very fast also tend to come down very fast,” Woodwell said. “We see a lot of fraudsters capitalising on this fad that so many people are paying attention to. Scammers are using that greed and the little bit of knowledge that people have to offer bogus investments.”

It is not known yet how bitcoin’s price will react to the leaked report that China’s top internet-finance regulator, the Leading Group of Internet Financial Risks Remediation, has issued a notice asking local governments to help bitcoin-mining operations make an “orderly exit” from the business.

The document, currently available through twitter user @cryptovenus, asks local authorities to use price rising measures linked to electricity supply, land use, tax, and environmental protection, to force bitcoin miners to quit the business.

Bitcoin miners use a special software to solve increasingly complex mathematical problems that both confirm legitimate transactions, or blocks, and create new bitcoins, adding new transactions to the blockchain about every 10 minutes.

The hash rate is the number of calculations a piece of hardware can make every second as it works to solve that maths problem, and the higher the hash rate, the more likely a miner is to solve a transaction and thus be rewarded with a set amount of bitcoin.

As the price of bitcoin continues to rise mining can be profitable, as miners are rewarded with a fixed amount of coins and transaction fees for their hard work.

However, the power of the computers and expense of the hardware needed for powering through blocks can eat up a lot of electricity and end up running huge costs.

Beijing is worried about social and financial chaos triggered by small investors who lose money investing in risky financial products.

After building up trillions of pounds worth of debt on the ‘shadow’ investments market, China and has cracked down on investment vehicles like peer-to-peer lending and online insurance.


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We are starting to see a rebound in BTC and ETH. We touched 1180 ETH as of this writing, and I am in a happy spot now after the news that Robinhood will allow trading of stocks and cryptocurrencies (ETH and BTC) in the same account. Please make sure you are exposed to ETH if you’re investing in these markets. Now more than ever is it important for coins to have working business relationships.

However, everyone must be weary of hearing big names, and not looking at what these names are actually buying. I have recently become fascinated with the cloud computing relationships that certain cryptocurrency companies have. What I find incredibly frustrating is how amazing these things are, and that I have absolutely no stake in it. I am going to use Microsoft and Stratis as my example, and if this is of interest to everyone I will do IBM and Stellar next.

Storage and analysis of information is one of the biggest costs to any company. The amount of data that a business compiles – financials, supply chain data, internal information sharing etc. – has become larger and larger each year. The cloud is a solution that allows access to remote data storage and applications via the internet, rather than having it stored locally (hard drives/local servers) that require large upfront investment and costly on-going maintenance. The clouds became flexible toward certain patterns (Black Friday, tax season, etc.), and will shift in size and cost based on the amount the company needs, rather than having excess capacity of local servers year round.

Companies did not have to take on the cost burden of local servers, and the scalability was more than enough to fit almost everyone’s needs. These clouds have evolved into the public sector as well. Individuals can now store their information (iCloud would be a familiar one) in a way that protects them from any hardware malfunction. Applications that we use have our activity information stored “in the clouds” as well.

How does your cryptocurrency get involved? They are the ones creating the file cabinets. One of the main problems associated with cloud computing is securing sensitive information. Many old school IT folks are still concerned that storing information on the cloud increases the risk of theft of sensitive information. Blockchain is a sophisticated way of providing extra armor within the cloud – in other words, encrypted information in blocks rather than just information itself.

The big players are Amazon, Google, IBM and Microsoft, each with their own different spin. Two of the companies, Microsoft and IBM, have become CaaS (cloud as a service) solutions, with a BaaS (blockchain as a service) added within.

Microsoft Azure is a cloud solution that was released in 2010. It provides a hybrid (public/private) cloud to corporations and individuals. Microsoft is able to store, automate and infer all of the information gathered by businesses in a much quicker way. Their applications are becoming stronger each day and are beginning to have real world use cases.

I am not from the tech background, but the consensus is that this Azure platform is one of the easiest to understand if you’re used to developing on Linux, which describes most developers. Azure is an easy transition. Their recently implemented BaaS is where Stratis enters the conversation.

Stratis prides itself on being the “status quo” blockchain maker. The software was designed to work with corporate America’s operating systems (OSX/Windows) through nStratis , which is a private “side chain” service for businesses and individuals. This means that when companies want to secure their information on the cloud, the early consensus is that blockchain is the best way to do so. The Stratis company was designed for Microsoft systems, and the people who are used to them. It was an excellent play on Stratis’ part to notice that cloud computing, and specifically Microsoft, would be the segment that would adopt their products and service first.

Stratis prides itself on being the “status quo” blockchain maker. The software was designed to work with corporate America’s operating systems (OSX/Windows) through

, which is a private “side chain” service for businesses and individuals. This means that when companies want to secure their information on the cloud, the early consensus is that blockchain is the best way to do so. The Stratis company was designed for Microsoft systems, and the people who are used to them. It was an excellent play on Stratis’ part to notice that cloud computing, and specifically Microsoft, would be the segment that would adopt their products and service first.

I would say Stratis is going to have a lot of work through these relationships. Side chains for private storage are what normal corporations are looking for, not cryptocurrency solutions. We raised money for Stratis through STRAT so that they could do this. However, I don’t see how their side chain business will reward coin holders.

Stratis probably has the best competitive advantages of all cryptocurrencies in that it plays well with Silicon Valley coding languages and has a knack for building a great private chain. But, where is the coin holder value? I would love to own some Stratis stock, in which I have ownership of the underlying company and receive profit. But that isn’t what this is.

This is the frustrating part about cryptocurrency. The lines have been greyed surrounding what is going to benefit the coin, and what isn’t. Rapid payment and processing has about 100 new coins coming on the market each month, usually with nothing more than the same coin properties as everyone else.

Microsoft has the largest technical reach of any company through its corporate monopoly. Windows and Microsoft Office are simply too imbedded in businesses’ lives for there to be a change in demand over the next 3-5 years. I believe that with the languages that Stratis can be adopted in, Microsoft will be calling them consistently as more people and businesses migrate their information to the cloud in the most private customizable manner possible.

I would exercise caution on STRAT. I have made a rule for myself that once a coin begins working with companies that will have no relationship to the coin, I will exit. It’s so tough for me to say, as I think this will be a revolutionary IPO in the future. Don’t be one dimensional in cryptocurrency. That is how so many people are being pinched. There are many ways to look at a company in blockchain, and one of them is getting the first look at a revolutionary company before it goes public. Stratis could certainly be an example of that.

This is not a recommendation to buy or sell cryptocurrencies. I do not own STRAT anymore. Best of luck to you. Please do follow me on Twitter @raijincrypto for thoughts throughout the week.

P.S. I read my last article. Raiden had taken it a little too far with the cloud computing Youtube videos the night before, and clearly wasn’t awake enough to write. Cryptocurrencies take a toll on us all, and I apologize. However! Now, I have some great cloud computing stuff that I am hoping is of interest, and will allow us to take a look at the first commercial uses of blockchain.

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See Also : Internet searches bitcoin litecoin surge 2017.html

Bitcoin, ethereum and litecoin have seen an explosion of interest this year as their prices have soared, according to internet search engine data provided exclusively for This is Money.

There has been an incredible surge in interest of the three cryptrocurrencies – with a 4,287 per cent increase in searches for litecoin in 2017, statistics from Hitwise Monitor show.

It analyses the online behaviour of 3million Britons, using the likes of Google , Bing, and app data. Bitcoin has seen an 819 per cent rise in interest and ethereum 2,371 per cent.

, Bing, and app data. Bitcoin has seen an 819 per cent rise in interest and ethereum 2,371 per cent.

The increase in searches for the cryptocurrencies on the internet are still dwarfed by the percentage growth of each online currency.

The value of both ethereum and litecoin have risen around 7,000 per cent since January to $730 and $321 a coin respectively, while bitcoin – the most familiar of the bunch – is up more than 2,000 per cent to a huge $19,000 a coin.

The data also shows that the number of people searching for bitcoin has increased 120.3 per cent in the last month – and the price has doubled in three weeks.

Bitcoin: The top graph shows how searches for bitcoin have boomed in recent weeks – and the price has surged in line with this trend

In the last month, searches for ‘bitcoin wallet’ have increased 147 per cent and the four most popular terms to search for with bitcoin is price, mining, cash and wallet, according to the comprehensive data.

Furthermore, it shows it is the younger generation searching more about crpytocurrencies than any other age group.

The statistics show that 18-24 year olds are 25 per cent more likely to search for bitcoin than the average population.

This is even more pronounced when split by gender – 18-24 year old males are 41 per cent more likely.

The next age group – those between 24-34 – are slightly less to look, but still 12 per cent more likely than the average population to engage with bitcoin, Hitwise says.

Litecoin: The cryptocurrency, launched in 2011, has seen the biggest surge in internet searches this year

Meanwhile, those in London are more likely than any other region to search for bitcoin, Wales the least.

According to Hitwise, five of the websites people are most likely to visit after searching for bitcoin are bitcoin.org, Wikipedia, CoinDesk, topbrokers.trade and Youtube.

Bitcoin has almost doubled its price in just three weeks – prompting further warnings from experts of a dangerous bubble.

CME Group became the second US exchange to take bets on the future price of bitcoin, in a major boost for its credibility.

But seasoned market followers and watchdogs continue to have major concerns about the volatile investment, saying punters are putting their life’s savings at risk.

France has called for the G20 group of major economies to discuss bitcoin regulation at next year’s summit in April.

And Lars Rohde, governor of the National Bank of Denmark, said: ‘You have to stay away from bitcoin. It is dangerous.’

Sopnendu Mohanty, of Singapore’s monetary authority, said: ‘Bitcoin has no natural intrinsic value.’


See Also : cryptocurrency

Perhaps you’ve heard of Bitcoin, Ethereum , or a range of other cryptocurrencies. Or maybe you have no idea and have only recently stumbled upon ‘cryptos’. It’s certainly a fascinating topic, and one that is getting a lot of attention in the financial world.

, or a range of other cryptocurrencies. Or maybe you have no idea and have only recently stumbled upon ‘cryptos’. It’s certainly a fascinating topic, and one that is getting a lot of attention in the financial world.

A crypto is a digital form of money. You can’t physically hold or touch this money as it is only stored and recognised online. What makes cryptos unique is that they use a system called the ‘blockchain’.

This blockchain is a digital record of every transaction ever made for a crypto. It operates on a peer-to-peer network, making it completely decentralised. What this means is that you don’t need a third-party, like a bank, to facilitate a transaction.

The first cryptocurrency was made in 2009 — bitcoin . It’s the most well-known crypto, and also the most valuable (at time of writing).

Bitcoin had small beginnings. In June 2009, one bitcoin was worth US$0.0001. Today, one bitcoin is worth thousands of US dollars.

However, at its core, bitcoin isn’t meant to be a financial asset. It’s meant to replace money as we know it. And to an extent it already has.

Today you can purchase goods from some retailers online or in-store using bitcoin. You can even buy a luxury car or house with bitcoin. And every day more goods and services are being listed in bitcoin.

However, there is more to it than just bitcoin. There are now over 1,100 cryptocurrencies in circulation, and new ones are added almost every day.

Now, not all of them are successful, and only nine current cryptos have a valuation over US$1 billion. But the fact remains that any one of these cryptos could take-off at any moment.

The reason for both the volatility and impressive gains is down to the fact that the blockchain technology, which underpins all cryptos, is still very new.

One brilliant idea could result in the next Amazon.com, Inc. [NASDAQ:AMZN] or Facebook, Inc. [NASDAQ:FB] . The potential is huge.

It’s why cryptocurrencies have earned a reputation for being the single most exciting financial opportunity around right now.

And we’re committed to bringing you all the latest developments and news. We aim to keep it simple and avoid the jargon. Crypto news for the average Aussie — because you can’t afford to miss out.

There are no ifs, buts or maybes. Cryptos are very risky. No regulators, no safety net, and no rules. We call it the Wild West of investing — and for good reason. We’ve never seen volatility like this.

risky. No regulators, no safety net, and no rules. We call it the Wild West of investing — and for good reason. We’ve never seen volatility like this.

This isn’t the investment to put your life savings into. This is like nothing you will ever see in the stock markets. The gains are potentially big, but so too are the losses.

But, if you’re willing to learn, and willing to take on some risk, this could be a once-in-a-lifetime opportunity — a cryptocurrency revolution.


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The following article represents the author’s opinion only and should not be taken as investment advice. Whenever investing in Bitcoin your capital is in risk. Make sure to read this post in order to educate yourself better on Bitcoin investments.

The following article represents the author’s opinion only and should not be taken as investment advice. Whenever investing in Bitcoin your capital is in risk. Make sure to

First, I don’t want to be overly pessimistic. Bitcoin has become one of the greatest investment assets in the world, but whenever bitcoin prices approach historical highs, every investor should consider the currency closely. Consider the end of 2016, when bitcoin approached $1,000 dollars. The first time bitcoin had broken the $1,000 dollar mark was back in late 2013, and as many experienced bitcoin traders will remember, prices suffered a dramatic collapse after peaking, then rebounded, then suffered a long-term collapse shortly after.

Many bitcoin investors lost a lot of money in that collapse. Some lost fortunes. So are bitcoin prices destined for a collapse every time they approach historical highs, or was 2013 a one time occurrence? First, let’s look at the Bitcoin historical price chart :

Many bitcoin investors lost a lot of money in that collapse. Some lost fortunes. So are bitcoin prices destined for a collapse every time they approach historical highs, or was 2013 a one time occurrence? First, let’s look at the

Now, before we go any further, it’s important to note a key difference between the first $1,000 dollar boom, and the second surge in 2016. Look at the chart above, notice how the first time bitcoin skyrocketed from less than $250 to $1,000 over a matter of just weeks? Now look at the second half of the chart, the build up was much slower, and more steady.

In hindsight, the first $1,000 dollar peak was a case of obvious over exuberance. Bitcoin was new, it was hot, money was pouring into it. Bitcoin investors got excited. Too excited. This caused a price surge. As prices started to surge, a lot of people jumped on the bandwagon, hoping to tap into rising prices.

Then, savvy and cautious investors started to realize that the price surge wasn’t due to the fundamental value of bitcoin (at the time), but instead over exuberance. They started selling. As more people started selling, prices began to drop, then more people began to panic, creating a stampede that led to prices eventually collapsing. Those who didn’t get out early enough lost a lot of money.

Exuberance driven surges aren’t the only reason prices can rise unnaturally. One of the most appealing aspects of bitcoin as an investment currency is its emergence as a “safe haven” asset. When stock markets and other more traditional financial markets are rambled, people have a tendency to pour their wealth into safe haven investments, such as gold, and now bitcoin.

In late 2016 a lot of people began to pour money into bitcoin because they were worried that stock markets and other assets were due for a drop. For investors, it’s essential to figure out whether or not these fears are actually founded. Safe haven assets are great investments, but they are prone to suffering from “bubbles.” People get scared, pour their money into gold, or bitcoin, then realize that their fears were unfounded. Then, bitcoin prices could plummet.

The most important lesson here is to pay attention to why prices are rising. At the end of 2016, bitcoin prices rose largely because of the election of Donald Trump and also fears over the global economy (e.g. India banning its largest banknotes, Venezuelan inflation, etc.). As a safe haven asset, many investors felt their wealth would be safer in bitcoin.

Was this price surge justified? Perhaps, but a lot of economic indicators at the end of 2016 were also pointing to economic growth and positive developments. Thus, people looking into investing in bitcoin had to not only look at bitcoin itself, but also state of the global economy. This makes investing more difficult, but if you do your homework, it will also make investing far safer.

I’ve recently came across a video by Chris Dunn that explains the recent price trends very simply. It also shows that the recent crash of the Bitcoin price back to around $840 was to be expected. I suggest taking a look at this video all the way through, it will be worth your time.

As an investor, you should always be critical of whatever you’re investing in. Even if you’re very confident in what you’re investing in, whether that’s stocks or bitcoins, you should take some time to examine your investments from a contrarian point of view. Why might a company under perform and suffer a stock price drop? Why might bitcoin markets be distorted, and prices unnaturally high? Remember, markets will always correct themselves.

Bitcoin has been and still is one of the best investment vehicles in the world. Regardless, as an investment asset, it will suffer from prices drops, and will also enjoy price increases. The trick, as an investor, is to buy low and sell high. If bitcoin prices are at or near historical highs, then it might be time to sell. And if prices do drop substantially after markets peak, that might be the best time to buy. People who investing in bitcoin after its price collapse in 2014 would have made a lot of money when prices recovered and surged towards $1,000 dollars in 2016.

Know more than 99% of the population about Bitcoin. One email a day for 7 days, short and educational (guaranteed).


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It started with a bit of profit taking but it seems that the FUD is now gripping the market. Comments from enthusiasts like Charlie Lee probably didn’t help either.

It started with a bit of profit taking but it seems that the FUD is now gripping the market. Comments from enthusiasts like

Those who have been in this market for a while are not nervous though. We’ve seen this type of action many times before. In fact, the traders out there have been expecting it .

Those who have been in this market for a while are not nervous though. We’ve seen this type of action many times before. In fact, the traders out there have been

You don’t get quadruple-digit gains without a few double-digit pullbacks. For the true believers, this is the time to consider buying the dip.

Please note: All data, figures & graphs are valid as of December 22nd. All trading carries risk. Only risk capital you’re prepared to lose.

Please note: All data, figures & graphs are valid as of December 22nd. All trading carries risk. Only risk capital you’re prepared to lose.

Now that tax cuts are out of the way. Congress was able to move on to the next most urgent order of business, keeping the government open.

Last night they passed a quick fix that will allow Congress to pay their bills over the holidays. This three-week patch is a clear case of “kicking the can down the road.” Still, it’s much better than the alternative.

So we can expect that the first issue of the US government in 2018 will be a more permanent budget solution.

Also in the news this morning are the results from the elections in Catalonia. To the dismay of Mariano Rajoy, the three separatist parties have taken an outstanding 70 seats of the 135 seat electorate and can easily build an anti-Spanish coalition.

It’s no doubt that everybody is going crazy for crypto. Investopedia has called “bitcoin” the term of the year. Yesterday a company that has nothing to do with digital assets rebranded themselves to see an exponential growth in their stock price.

Here’s a graph of a company formerly known as Long Island Iced Tea, that has recently changed their name to “Long Blockchain.”

Ladies and Gentleman this is Wall Street’s version of a pump and dump. Traders realize that the rebranding is only a publicity stunt and the company has admitted that they may never even integrate any blockchain solutions.

Now, the infamous trading firm Goldman Sachs is getting in on the action and has announced that they are opening their own Cryptotrading desk.

This is a truly exciting update and it only confirms what we’ve been saying at eToro for the past few years, that cryptotrading is the future of Forex.

With that, as every trader knows, markets go both ways and at the moment they’re going down. So let’s take a look.

Looking at the overall cryptomarket, we’re now 25% from the top. Timewise we’re back to the levels last seen on December 13th. All in all, not too much damage so far but the fear is certainly setting in with many and there is a possibility to go further.

According to the chart, even if we see a move to as low as $10,000 we could still consider bitcoin to be in a strong upward trend. In fact, $10,000 was exactly the level that bitcoin was trading at the beginning of this month and so it would not be surprising to see it there again.

Several have mentioned this morning that this pullback is being caused by people who want to buy Christmas Presents.

At first, I thought that the notion was ridiculous. After all, most crypto volumes happen in East Asia where Christmas isn’t really as much of a thing. However, after checking the recent volumes, there may be something to this theory after all.

According to coinmarketcap, combined volumes from bitflyer and bithumb, the two largest exchanges in Japan and South Korea, the two biggest crypto countries in the world, only account for a combined 5% of crypto volumes today.

Cryptocompare also has a nifty graph that seems to indicate the West taking up a larger portion of the market in the last 28 hours.

No matter what’s causing the pullback or how much longer it might last. I would like to wish everyone an amazing weekend ahead and a very Merry Christmas.

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Bitcoin suffered its third price crash in two weeks this morning, falling below the $8,000 (PS5,700) per coin mark.

The cryptocurrency’s value has dropped by a total of 30% this week and is at its lowest price since November, Reuters reports. Other digital currencies, such as Ripple and Ethereum, have also suffered “double-digit declines in the last 24 hours”.

The cryptocurrency’s value has dropped by a total of 30% this week and is at its lowest price since November,

reports. Other digital currencies, such as Ripple and Ethereum, have also suffered “double-digit declines in the last 24 hours”.

It is believed that Facebook’s decision to ban all cryptocurrency adverts from its network, and “a growing regulatory backlash” from countries such as China and South Korea, have led to mass sell-offs by investors over the past two weeks, the news site says.

The price crash is “a jarring turnaround” for the cryptocurrency market, says The Verge . Bitcoin reached an all-time high of $20,000 (PS14,100) per coin in December.

However, according to The Independent , bitcoin is “still up 2,520% over the last year”, with the recent price crash “simply undoing all of the incredibly fast surge traders saw at the end of last year”.

, bitcoin is “still up 2,520% over the last year”, with the recent price crash “simply undoing all of the incredibly fast surge traders saw at the end of last year”.

The cryptocurrency market has dropped sharply over the past two days, with the value of popular coins including bitcoin and Ethereum dropping by up to 20%.

The crash has been attributed to the South Korean government’s new plans to “crack down” on virtual currency trading, which has led to “a sell-off across the market globally”, says BBC News .

The crash has been attributed to the South Korean government’s new plans to “crack down” on virtual currency trading, which has led to “a sell-off across the market globally”, says

Bitcoin’s value, which hit $20,000 (PS14,500) per token in December, tumbled as low as $10,000 (PS7,300) on Wednesday morning.

Ethereum and the bank-focused coin Ripple also plunged in value, says Reuters , as the news from South Korea fuelled “worries of a wider regulatory crackdown”.

Shuhei Fujise, an analyst at Alt Design, told the news site: “Cryptocurrencies could be capped in the current quarter ahead of G20 meeting in March, where policymakers could discuss tighter regulations.”

China and Germany have also indicated they are preparing crackdowns on digital currencies , The Daily Telegraph reports.

This is by no means the first crash to hit virtual coins. A similar slump occurred in September when China banned start-up cryptocurrencies – known as initial coin offerings (ICOs).

The market then rebounded, with digital tokens reaching record prices between December and the first week of January.

The value of ethereum slid by around $60 starting its decline at 10.00pm UTC to start Tuesday in free fall.

South Korea has announced a curb on crypto futures and vowed the come down hard on any criminal activities involving illegal currencies.

The country, which had been a big player in the cryptocurrency boom, is now considering a full shutdown of all exchanges.

The government has also vowed to support research and development into the blockchain on which cryptocurrencies are based.

Last Wednesday, it was revealed by Justice Minister Park Sang-ki that the government was preparing a law to close all the nation’s exchanges.

Senior official Jung Ki-joon said: “We will respond strongly to cryptocurrency speculation and illegal acts, but we will provide support to research and development relating to blockchain technology.”

“The proposed shutdown of exchanges that the justice minister mentioned recently is one of the measures suggested by the justice ministry to curb speculation.

“A government-wide decision will be made after sufficient consultation and coordination of opinions.”

The South Korean government has twice moved to calm the volatile crypto boom which has swept the country.

Bitcoin currently stands at PS9,399 ($12,967) after enjoying highs yesterday of PS10,364 ($14,298) having lost PS965 ($1,331) of its value in less than 24 hours.

Ethereum was subjected to a similar decline losing PS115 ($160) from its starting price of PS1,007 ($1,390).

He said: “All government ministries agree on the need for a government response to an overheating in cryptocurrency speculation and for a degree of regulation.

“The issue of banning exchanges that the justice minister talked about yesterday is a proposal by the Justice Ministry and it needs more coordination among ministries.”

The move is part of a deliberate policy to get trading under control that has hit the market in the last few months.

The practice has been used by startup and to fund projects with firms creating their own currency and selling it to raise money for investment.

He said: “All government ministries agree on the need for a government response to an overheating in cryptocurrency speculation and for a degree of regulation.

“The issue of banning exchanges that the justice minister talked about yesterday is a proposal by the Justice Ministry and it needs more coordination among ministries.”

Bitcoin and other cryptocurrencies including Ripple and ethereum have all seen their prices fluctuate over fears they will become regulated.

and other cryptocurrencies including Ripple and ethereum have all seen their prices fluctuate over fears they will become regulated.

The prices of the three cryptocurrencies are all on the rise over the last 24 hours but Bill Winters has warned the prices could soon fall.

The CEO of Standard Chartered said he could not see any way where the cryptocurrencies and Blockchain were not going to be looked into by authorities.

He said: “We think it is very real, it is fundamental. We have got some extremely interesting early stage developments how clearing currency pairs with disrupted technology.

“But like is happening in Korea and China, I find it hard to imagine that authorities are going to allow widespread use of any currency or cryptocurrency for cross-border payments or domestic payments for that matter without some ability to be able to look in and see what is going on.”

Speaking to CNBC , Mr Winters also warned this could lead to the price of cryptocurrencies like Bitcoin to plummet.

“But there is a reason that these things exist and at the end of the day they are not controlled in terms of their values by central banks, and that is appealing to a big chunk of the population.”

The comments come after the South Korean Government announced that it would be cracking down and impose stricter regulation on cryptocurrency trading.

Bitcoin is a cryptocurrency which is not controlled by a single administrator and can be used to buy things worldwide electronically.

Financier Bill Browder warned that the cryptocurrency world could face another crisis if it is regulated .

He told CNBC: “Bitcoin and other cryptocurrencies are a way for bad dictators or criminals to bypass sanctions and so from my perspective, and I think from the perspective of politicians around the world, governments are not going to allow that to happen.

“Eventually it’s going to be regulated and as it gets regulated one of the prime aspects of Bitcoin will disappear, which is this libertarian freedom.

“It’s true with Bitcoin in terms of money laundering. They will get to it and when they get to it, it will be extremely tough and devastating and hurt the share price.”

Nobel Memorial Prize winner Joseph Stiglitz warned bitcoin “must” be regulated to stop money laundering.

He said: “We have a good medium of exchange, called the dollar, we can trade in that. Why do people want a bitcoin? For secrecy. We have a perfectly good currency. We are moving towards an electronic payments mechanism. I would like us to move more towards an electronic payments mechanism but you don’t need a bitcoin for that.”

Bitcoin saw its highest value before Christmas when it reached the monumental price of just under $20,000.

The price of Bitcoin has since fallen, but According to Coindesk the cryptocurrency over the last 24 hours has risen 2.71 percent to $11,133.60at 18.18pm (GMT) on Wednesday 24 January.

Coindesk also says Ripple ‘s XRP is also on the rise, up 1.95 percent to $1.36 at 18.19pm on Wednesday 24 January. At the same time, ethereum was also on the up 4.82 percent to $1,033.74.

‘s XRP is also on the rise, up 1.95 percent to $1.36 at 18.19pm on Wednesday 24 January. At the same time,

Bitcoin has had a rocky month with some speculating that it was the market crashing, but it’s just the cryptocurrency maturing, according to Oliver von Landsberg-Sadie, the founder of cryptocurrency brokerage BitcoinBro.

has had a rocky month with some speculating that it was the market crashing, but it’s just the cryptocurrency maturing, according to Oliver von Landsberg-Sadie, the founder of cryptocurrency brokerage BitcoinBro.

“South Korea’s stance on making sure that the exchanges know who they’re dealing with is a very positive step.

Mr von Landsberg-Sadie added that regulation and the recent correction in bitcoin’s price was a sign the market was “growing up”.

He said: “I think the regulatory environment is one of few factors contributing to this correction, which I see as a very healthy correction.

“It’s a sign that the markets growing up and it’s recognising that cryptocurrencies are not a tool for money laundering or illicit use.

“I think they’re the right kind of change we need to the money system but it needs to be done right.”

The managing director at eTorro, Russia, said the influx of “mass-market consumers” looking to join the cryptocurrency trend led to the sudden surge in price for bitcoin , which reached highs of around $20,000 in December.

The managing director at eTorro, Russia, said the influx of “mass-market consumers” looking to join the cryptocurrency trend led to the sudden surge in price for

Mr Verbitsky told RT: “Many people behind bitcoin and cryptocurrencies as a whole understand that the skyrocketing prices in the last few months are linked to cash inflow from mass-market consumers. Even pensioners wanted to invest.

“Experienced investors knew that the bitcoin honeymoon couldn’t last forever. Those who catch the last train are usually punished by the market.

“Big-time miners and investors understand that they needed to diversify, that they hard to get some fast money. People who raised money on the ICOs had to pay wages to developers.”

Despite its massive highs, bitcoin has also faced huge slumps in price after reports that the Chinese Government is planning to shut down bitcoin miners in its latest crackdown on the cryptocurrency.

China is one of bitcoin’s biggest producers, with miners located in the Asian country using the energy-intensive process of solving complex math problems to add transactions to the blockchain.

China is planning to limit electricity to bitcoin miners after government bodies expressed concern about its energy usage.

Mr Verbitsky said he believes the prices may remain stagnant for around six months after the reports prompted huge sell-offs of bitcoin.

“It was about pure greed,” he said. “Of course, after they lost a third to a half of their investments, they pushed the sell button. A consolidation around $12,000 and $14,000 can now be expected.”

Speaking ahead of the World Economic Forum in Davos, Switzerland, Richard Shiller questioned the cryptocurrency, claiming he “doesn’t know what to make of bitcoin ultimately”.

Ahead of his Davos address, he told CNBC: “It has no value at all unless there is some common consensus that is has value.

“It reminds me of the tulip mania in Holland in the 1640s, and so the question is did that collapse?

“We still pay for tulips even now and sometimes they get expensive. Bitcoin might totally collapse and be forgotten and I think that’s a good likely outcome but it could linger on for a good long time, it could be here in 100 years.”

Ethereum, is currently valued at $1,132.44, according to Coindesk.com, at 2.39pm GMT, on January 20.

Nicholas Colas has claimed that there is a correlation between the number of people searching for Bitcoin on Google and the number of people investing in the online money.

However, he highlights that once people are more educated on cryptocurrencies they move away from the original digital currency and towards alternatives.

“You saw that correlates to the total increased number of wallet growth, which doubled in December from approximately five per cent to 10 per cent as Bitcoin rallied.”

Bitcoin reached an all time high of nearly $20,000 (PS14,000) in December last year after its price rose by more than 1,500 per cent since January when the value of a single Bitcoin was $954 (PS668).

However, since reaching its all-time high the currency has had a turbulent time and saw its value drop to $8,369 (PS5,870) last week.

Mr Colas argues his theory of Bitcoin being a “gateway drug” helps to explain the sudden fall because of a lack of interest in researching Bitcoin on Google.

“Right now the Google search data is telling me there’s not really that next leg up in Bitcoin because there’s not that interest that leads to wallet growth that leads to price appreciation.”

Mr Colas claims that there has been a fall in Bitcoin’s price because those who started investing towards the end of last year are now looking to put this money in alternative cryptocurrencies.

He explains: “Some of the movement in Ethereum, which has traded much better in January, is just money which is being pulled out of Bitcoin.”

However, other financial experts have offered alternative theories as to why there has been a sudden decrease in interest in Bitcoin investment.

Bitcoin and blockchain expert Simon Taylor said: “I think it’s evidence of a government trying to get its hand around a subject which was seen as ungovernable.

“Historically we thought this thing was decentralised, there was no way to control it but what you have here is centralised exchanges. This is the same as a bank. This is something that holds the bitcoin or the digital currency on your behalf.”

Miles Eakers, Chief Market Analyst at Centtrip, has warned that the price is likely to continue to fall if more countries consider regulating the digital market.

He said: “We anticipate there will be more of such protectionist regulation. This is likely to put Bitcoin under more strain, causing it to drop to the $8000 a coin level.”

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.

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.”

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.”

Miles Eakers, chief market analyst at Centtrip, is now expecting more pressure on the token to result in prices falling down to $8,000.

He said: “Driven by talks about likely increased regulation, Bitcoin’s woeful start to 2018 continued today. Bitcoin has again fallen below $10,000 a coin, far from its record price of $19,891.

“The drop followed comments made by India’s Minister of Finance, Arun Jaitley, that the Indian 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’.

“We anticipate there will be more of such protectionist regulation. This is likely to put Bitcoin under more strain, causing it to drop to the $8000 a coin level.”

The news comes after the South Korean Government insisted that it would not be banning cryptocurrencies like bitcoin, Ripple and Ethereum , instead suggesting that they will be more heavily regulated.

The news comes after the South Korean Government insisted that it would not be banning cryptocurrencies like bitcoin,

Compare crypto currencies (Ripple, Bitcoin, Ethereum, LiteCoin) on value, market cap and supply for the past year

But Oliver von Landsberg-Sadie, founder of cryptocurrency exchange BitcoinBro, has argued that bitcoin is currently just experiencing “growing pains” and actually welcomes further regulation in South Korea.

“South Korea’s stance on making sure that the exchanges know who they’re dealing with is a very positive step. But it did have a hit on bitcoin.”

In another blow for bitcoin, social media giant Facebook will soon ban adverts that promote cryptocurrencies.

Rob Leathern, Facebook’s product management director: “We want people to continue to discover and learn about new products and services through Facebook ads without fear of scams or deception.

“That said, there are many companies who are advertising binary options, ICOs and cryptocurrencies that are not currently operating in good faith.”

He added: “This policy is part of an ongoing effort to improve the integrity and security of our ads, and to make it harder for scammers to profit from a presence on Facebook.”

Bitcoin, Ripple and all other major cryptos are also suffering from a recent barage of negative public opinion, an expert has warned.

FOREX.com analyst Fawad Razaqzada said: “Sentiment towards cryptocurrencies is turning sour with negative headlines pouring out from left, right and centre.”

“Concerns that Facebook is banning ads and major crypto exchanges shutting down have really silenced the hype and some people are probably having second thoughts about investing their hard-earned cash into digital currencies.”

To make matters worse, the the security of cryptos was called into question last week after PS380million worth of NEM was stolen by hackers who targeted the popular Coincheck exchange.

Bitcoin investors have since been advised to keep their investments safe in an offline ‘cold’ wallet to prevent future hacks.

Bitcoin has now shed over half of its value since the $20k high recorded on January 18, dropping to lows of just under $8,000 over the weekend.

has now shed over half of its value since the $20k high recorded on January 18, dropping to lows of just under $8,000 over the weekend.

Ripple fell to $0.75, as XRP crashed back towards prices not seen since before its dramatic rise in December.

fell to $0.75, as XRP crashed back towards prices not seen since before its dramatic rise in December.

The three-month Ripple graph below highlights the extent of Ripple’s recent decline – and reveals the cryptocurrency has not been valued so low since before Christmas.

While Ethereum dropped back below $1,000 to $892 at the time of press and a fall of $259 (22 percent) from yesterday’s high of $1,151.

dropped back below $1,000 to $892 at the time of press and a fall of $259 (22 percent) from yesterday’s high of $1,151.

Ran Neu Ner, the founder of ONchain Capital, suggested BTC c ould reach highs of $20,000 again in 2018.

He said he was confident that bitcoin would regain its sky-high prices this year, arguing that it is in the cryptocurrency’s nature to be volatile.

Speaking to CNBC, he said: “Yeah but bitcoin goes up, bitcoin goes down, bitcoin goes up and down very quickly.

“We’ve seen bitcoin go up and we’ve seen bitcoin go down, we’ve seen it go down 50 percent at a time.

Oliver Isaacs, investor and influencer, told Express.co.uk: “The crypto-markets are extremely volatile and as an investor, you often have to look beyond the initial panic of a large price drop, not let emotions get in the way and look at the long-term likelihood of a positive return.

“Bitcoin, Bitcoin cash, Ethereum, and Ripple are some of the most well-known and talked about cryptocurrencies with largest market caps.

“I am a strong advocate for Ethereum and Bitcoin cash and believe the price will recover over time.”

Right Side anchor and reporter Steve Lookner tweeted this morning: “Ripple is the third-biggest cryptocurrency. It has lost 18 percent of its value in 24 hours.

“It has lost 74 percent of its value since early January. Ripple investors have lost, on paper, $290 million in 24 hours.”

The crash came after a blockchain startup suffered a costly hack attack when home sharing startup BeeToken was hit by a phishing dupe.

Parity Technologies is trying to bounce back and recoup $160 million (PS112 million) after a novice developer accidentally froze the funds so no-one could access them.

Trevor Koverko, CEO of blockchain platform Polymath, suggested it may not be all doom and gloom as investrors are backing Ripple because they trust the brand.

“A lot of people are beginning to realise how big of an opportunity there is between business and the blockchain…and that’s making Ripple the early winner here.”

Leading cryptocurrency market tracker Coinbase showed that Bitcoin’s value had dropped by 60.06 per cent since the last month.

The virtual currency’s price at the time of writing was PS4869.30 ($6,800.70) that marked a decline of PS7,323.76 ($10,225.58) since this time last month.

Back in December, Bitcoin hit an all-time high of PS13991.86 ($19,535.70) on December 17 before sharply declining.

A brief resurgence of the cryptocurrency occurred on January 6 when the value hit PS12,201.24 ($17,035.60) before dramatically going into free fall.

Today the Bitcoin market opened at 5866.06 ($8,186.65) and closed at PS4,717.78 ($6,583.56) that marked another sad day for cryptocurrency investors.

As markets have fallen, countries around the world have continued to clamp down on virtual currencies with India being labelled as the next significant nation to outlaw them, according to a finance ministry official.

New Delhi’s economic affairs secretary, Subhash Chandra Garg, stated that the government is setting up a panel to analyse cryptocurrencies and aims to submit a report on them in the current fiscal year.

He explained: “The government will take steps to make it illegal as a payment system. As well as having a regulator in place.

“We hope now within this financial year the committee will finalise its recommendations… certainly, there will be a regulator.”

Meanwhile, there are fears that China could harness its Great Firewall to block access to virtual markets.

Any and all websites offering services related to cryptocurrencies have been wiped from search engines and social media in the Asian superpower.

A source form the People’s Bank of China-affiliated Financial News declared: “Overseas transactions and regulatory evasion have resumed.

The central bank reportedly said it would “tighten regulations” on Chinese people’s participation in overseas cryptocurrency transactions and ICOs.

CEO of Shopin Eran Eyal said he has “no doubt” bitcoin will reach a value of beyond $100,000 in the future.

Mr Eyal said it is important to separate bitcoin from other types of cryptocurrencies such as ethereum or Ripple . He said each cryptocurrency has its own “business model” to differentiate from one another.

Mr Eyal said it is important to separate bitcoin from other types of cryptocurrencies such as ethereum or

Speaking on CNBC , Mr Eyal said: “I have no doubt that bitcoin is going to reach well-beyond $100,000. Have a look at how it has climbed over the past.

, Mr Eyal said: “I have no doubt that bitcoin is going to reach well-beyond $100,000. Have a look at how it has climbed over the past.

“I think it’s important not to just look at it at this moment in time but also to look at it historically at what has happened around the world.

“I mean, look in the United States, bitcoin exchanges were shut down three times. What we are seeing here is really government’s taking a knee and taking a moment to understand the ramifications for their specific culture.”

Mr Eyal said all cryptocurrencies are different. He used the example of ethereum and said it is a platform for building “exciting technologies”.

He said it is “impossible” to look at bitcoin and ethereum and compare one to the other because “they are not both apples”.

Bitcoin is a cryptocurrency not controlled by a single administrator and can be used to buy things worldwide electronically.

Bitcoin price decreased to $11,727.39 at 10:46am on Monday, January 22, according to CoinDesk. It saw its highest value before Christmas when it reached the monumental price of just under $20,000.

Bitcoin’s popularity has caused demand to skyrocket throughout 2017, pushing other cryptocurrencies like Ripple and ethereum to also reap the benefits of the cryptocurrency craze.

Billionaire business mogul Warren Buffett warned bitcoin and other cryptocurrencies are “certain” to end badly.

Mr Buffet said he is unsure when the cryptocurrencies bubble will burst but he is “certain” it will happen.

He said: “I know this. If I could buy long-term puts. If I could buy a five-year put on every one of the cryptocurrencies – I’d be glad to do it. But I would never short a dime’s worth.

Bitcoin investors are worried they will be unable to withdraw their cash after cyber-attacks have left some investors money stuck in the system.

There are fears that some of those who have invested in the crypto-currency will struggle to get their cash out after Bitcoin’s value plummeted by 40 percent in a single month.

BitConnect, a coin exchange server, announced that it was shutting down meaning all traders would need to withdraw their money.

However, despite reassurances customers would be able to withdraw at a “recent exchange rate”, those trying to retrieve their investment found they were unable to do so due to continuous cyber-attacks.

News coming from the Davos world economic forum confirms that UBS Chairman Axel Weber, told reporters that bitcoin and other cryptocurrencies were speculative, risky and “not an investment we would advise”.

News coming from the Davos world economic forum confirms that UBS Chairman Axel Weber, told reporters that bitcoin and other

Weber told CNBC: “Retail clients, who don’t fully understand these products, should be protected from going into these products, because if there is a retail client affected in the future, the question will be again who was the bank that sold them these products and then banks will be blamed again for what has happened.”

Compare crypto currencies (Ripple, Bitcoin, Ethereum, LiteCoin) on value, market cap and supply for the past year

Bobby Lee, CEO of China’s first bitcoin exchange said bitcoin’s price could hit above $1 million dollars in the next 20 years.

Speaking exclusively to Express.co.uk at London Blockchain Week, the co-founder of BTCC said: “Bitcoin, I think will get to $1 million per bitcoin.

“Half a million, that’s going to be a milestone and then eventually it will cross $1 million for bitcoin.”

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