The financial news has been filled with headlines about cryptocurrency for over a year now and this has undoubtedly played a part in the huge increase in value the likes of Bitcoin and the rest have experienced.
While plenty acted quickly and got in on cryptocurrency, many other potential investors who have been cautiously considering making a move have held back fearing that the opportunity had gone when Bitcoin reached $20,000 and others like Ethereum and Ripple started making big gains.
Warnings about bubbles, regardless of who was making them, have largely gone unheeded. New price records have been set then broken on a regular basis. However, a market correction was always going to happen.
It’s been nothing like the drastic fall some commentators have predicted (remember Bitcoin was valued at around $900 in December 2016). However, on January 17 Bitcoin has tumbled to around $10,000 after reports that a ban on trading of cryptocurrencies in South Korea was possible. The fears of a regulatory crackdown sparked a domino effect on the broader cryptocurrency market with Ethereum dropping 23 per cent and Ripple 33 per cent on the same day.
While some may view this as the beginning of the end of cryptocurrency trading, it’s more likely to be the breather this market will take while the new financial instruments that are growing up around cryptocurrencies settle in and the authorities firm up their decisions on how virtual coins will be regulated.
Read more
Tidak ada komentar:
Posting Komentar