As a result, the largest and most well-known cryptocurrency is now only about a quarter of its record high at the end of 2017. If the price falls below the $ 5,000 mark, experts expect it to go down even faster. „Significantly tearing the $ 5,000 psychological mark could put marketers in panic mode,“ said Emden.
Not only the Bitcoin, but also other known crypto currencies such as Ether, Litecoin or XRP are again under pressure at the beginning of the week. According to the Coinmarketcap website, the total value of all around 2000 digital systems currently amounts to a good 170 billion dollars, the equivalent of around 149 billion euros. Last Wednesday, it had been $ 210 billion, at the peak of the crypto boom, it peaked at nearly $ 830 billion.
What are the reasons for the crash?
There are many reasons for the weakness of digital investments in the market. These include, in the first place, the futile waiting of many Bitcoin supporters for the introduction of an exchange-traded index fund (ETF) on Bitcoin. As a further cause industry experts call a technical split of Bitcoin sister currency Bitcoin Cash. Already last year, such a technical division (hard fork) of Bitcoin caused turbulences on the crypto exchanges. That’s where Bitcoin Cash came from.
The Bitcoin was only a few cents worth at the start of trading in February 2009. In the early years, the currency developed away from the public eye. In 2013, Bitcoin broke through the $ 1,000 mark for the first time.
Behind the digital currency is the idea of a currency that exists independently of states, central banks and monetary policy. Unlike traditional currencies, digital means of payment are not controlled by a central office.
