Thursday, June 23, 2022

Why Is Crypto Crashing Now

How Much Have Bitcoin Ethereum And Dogecoin Lost In Value


With Tuesdays losses, bitcoin has slid more than 50% from its all-time high above $64,000 in mid-April. To be sure, bitcoin is still up more than 200% over the past 12 months.

Ethereum has shed nearly 57% from its all time high of $4,356.99 in May while Dogecoin has shed more than 70% since it touched a record of about 73 cents last month, according to CoinGecko.

Bitcoins Value Has Sunk Back Below $60000 Having Reached An All

Billions were wiped from the cryptocurrency market after Bitcoin and other major coins crashed on Monday night.

Bitcoins value sunk back below $60,000, having reached an all-time high of around $69,000 on 10 November.

Most coins have recovered slightly after the crash. As of Wednesday afternoon Bitcoin was valued at around $60,000.

Ethereum lost more than 11 per cent of its value on Monday night, and is now at around $4,200.

Other coins including Solana, Ripple, Cardano, Dogecoin and Shiba Inu also fell by around 10 per cent.

The overall cryptocurrency market fell by more than $200 billion overnight, to around $2.6 trillion.

The I Newsletter Cut Through The Noise

Bitcoin and other leading crypto coins experienced a significant drop in share price after investors began dumping mining equipment as China announced fresh regulations.

  • Bitcoin -7.91%
  • Binance Coin -9.93%
  • Tether +0.04%
  • SHIBA INU -5.74%
  • Coin -21.05%
  • Terra -7.11%
  • Litecoin -14.44%
  • Wrapped Bitcoin -7.96%

It follows recent crashes brought on by Tesla making a u-turn on accepting Bitcoin as payment for its products and China clamping down on initial coin offerings, block exchanges and warned against speculative trading.

A further blow was dealt when China ordered Bitcoin mining in its Sichuan province to shut down completely and furthermore told banks to stop supporting crypto transactions, in a latest wave of restrictions on cryptos.

Now the countrys central bank, Peoples Bank of China, has effectively banned digital coins after announcing all transactions of cryptocurrencies are illegal.

The decision has already had an impact on the global crypto market.

This is whats going on in the world of cryptocurrencies

Recommended Reading: How To Implement Blockchain In Java

Daily Crypto News May 28


The cryptocurrency market has grown immensely over the past year, with Bitcoin reaching an all-time high in April 2021. However, the cryptomarkets have seen a small downturn today, as most major cryptocurrencies and Altcoins have dropped in value. Read on to know the crypto news updates about the changes in the crypto market today.

Why Crypto Is Crashing Now

Is Crypto Market Crashing Today

The crash follows President Biden signing the infrastructure bill into law. The $1.2 trillion bill might pave the way for broadband, roadway, railway, and resiliency expansion across the nationbut it also impacts crypto traders in a few significant ways. As a result, many crypto holders have trimmed their positions in an attempt to minimize the new law’s impact.

You May Like: How To Get Paid In Crypto

What Is Cryptocurrency

Okay, first things firstwe have to talk about what crypto is. Cryptocurrency is basically just digital money. You can think of it like virtual cash that you keep in a digital wallet online. This digital cash can be used for investing and even online purchases. Did you catch all the times we said virtual and digital there? Yep, thats rightcrypto money exists only on the web. Youll never see a physical coin of any kind .

Get An Ethereum Wallet

When people lose trust in their own currency or banking system they look for an alternative to store value that isnt controlled by any government or bank. Usually, Bitcoin, among other assets such as gold, is a popular solution. Read more about Convert ETH here. For example, if Bitcoin is cheap on Bitstamp but expensive on Coinbase, then traders will buy on Bitstamp and sell on Coinbase. The effects of arbitrage are what keep prices aligned across exchanges. The trading interface on any standard crypto exchange features whats known as the order book. Its not a real book of courserather the display page for market information that relates to the execution of buy and sell orders. As theres no official Bitcoin price, certain sites and companies make a composite index price available. This price is calculated by weighting the prices of various leading currencies by volume and combining them as an average. When talking about Bitcoins price, people are usually referring to either the USD price on a leading exchange or a composite price made from the average of multiple exchanges prices . Sceptics claim that bitcoin has no intrinsic value and say it poses a risk for investors, who are not protected by regulators or financial protection schemes if the asset tanks. However, bitcoin appears to be breaking away from the wider cryptocurrency market.

1 satoshi bitcoin price rn $0,00058515

1 bitcoin $58.151


Recommended Reading: Why Is Blockchain So Important

Reason No : The Mt Gox Effect

If youre relatively new to crypto, you may not have heard of Mt. Gox. But in its day, it was far and away the biggest crypto exchange in the world. At its peak, more than 70% of all Bitcoin transactions went through Mt. Gox.

Then one day in February of 2014, Mt. Gox suspended trading. It then closed down its website and all exchange services. This was followed by filing of bankruptcy protection from creditors. Within a couple of months, it began liquidation proceedings.

After all of this, the exchange announced that around 850,000 Bitcoins belonging to costumers were missing. While some were found, the lions share were not. An investigation by WizSec found that most of the missing Bitcoin was stolen right out of the Mt. Gox hot crypto wallet over a period of a couple years. So, word to the wise, pick a safe crypto wallet to store your spoils in.

OK, history lesson done. Now you ask, what does this have to do with the question, Why is crypto crashing? Well, Mt. Gox is in the midst of rehabilitating itself. And part of that plan is to return more than 141,000 Bitcoins to their rightful owners.

The defunct exchange will be returning roughly $8.5 billion of Bitcoin to traders after receiving final approval from its trustees. Now its just a matter of time until confirmation is issued from a Japanese court .

What Do Its Critics Say


Sceptics claim that bitcoin has no intrinsic value and say it poses a risk for investors, who are not protected by regulators or financial protection schemes if the asset tanks.

Critics also warn that investors could be exposing themselves to fraud, since cryptocurrencies like bitcoin have been linked to money laundering and black market dealings. There are also concerns about the environmental impact of bitcoin mining, which requires energy-intensive computers to generate coins.

Read Also: How To Add Funds To Bitcoin

Bitcoin Dogecoin Shiba Inu Other Cryptocurrency Prices Crash Today Check Latest Rates

1 min read.Livemint

  • Cryptocurrency market cap slipped to $2.6 trillion led by fall in crypto prices, according tracker CoinGecko
Listen to this article

Bitcoin price continued its slide as the digital token slipped below $57,000 for the first time since October, in a retreat from record highs. he world’s largest and most popular cryptocurrency was trading over 6% lower at $56,328.8. Bitcoin recently hit record high of around $69,000 and is up over 93% this year so far.

Global crypto market cap slipped to $2.6 trillion, according tracker CoinGecko. Bitcoin has more than doubled this year, while Ether is up about sixfold. Both scaled records last week amid a fervor for digital assets driven by speculative demand and controversial arguments that they can hedge inflation risks.

Despite better valuations, public sector banks are stru …

Bitcoin, Ethereum and other major altcoins have remained subdued almost 3 days in succession. On the daily timeframe, Bitcoin can be seen traversing within a channel pattern, frequently retesting the support of $58,000 mark. The RSI indicator has fallen below 40, a sign that the token is close to being oversold. We could soon expect a reversal in the trends based on the current scenario and the general optimism surrounding bitcoin,” said Siddharth Menon, COO of WazirX.

Should You Invest In Cryptocurrency

That decision is up to you. However, the two cryptos are still astronomically higher than they were a year ago. Bitcoin is up more than 30% in the year to date, according to Coindesk, while Ethereum and Dogecoin have rallied more than 255% and more than 7,500%, respectively. But theres always the porential for a crypto crash 2021 and beyond.

Recommended Reading: What Is Forex And Crypto Trading

An Easier Way To Buy Crypto With Etoro

Join the 20 million users who trust their investments with eToro.

You can start investing from as little as $50.

Choose from a selection of crypto assets including Bitcoin, Ethereum and Dogecoin. You can practice risk-free, with a virtual investment account.

There have also been warnings around scams related to cryptocurrencies, with people losing vast sums of money.

You should never invest in something you dont understand and you should never put in money that you can’t afford to lose entirely.

Why Is Bitcoin Down Today

Why Is Crypto Crashing

Bitcoins bullish price rise to near $70,000 in value came as investors hoped to see the $1 trillion market cap remain firmly in place ahead of a volatile trading period.

But its fall below $55,000 has come as markets are down due to renewed concerns over Covid-19.

In the UK, the FTSE 100 was down by almost 200 points today, in a 2.72% fall as fears over Covid restrictions and the potential for another Christmas lockdown loom over markets worldwide.

Recommended Reading: How Much Is It To Buy One Bitcoin

Why Is Crypto Crashing Reason No : Sell

Those all-time highs rarely stay all-time high for long on the crypto world. Big values equal a reason to exit a position. Thats just from short-term investors looking to capitalize off any gains they can realize.

But thats nothing new. Heres a chart of the price action of Bitcoin this year so far from the Cryptowatch application.

Notice anything? Soaring values are often met with quick declines. Its the natural ebb and flow of crypto prices. And with an asset as volatile as crypto, it does make sense. Buying the dip and selling the high is an easy way to lock in some gains.

However, thats not the only thing that pushed the crypto markets down That most likely wouldnt have been enough to send Bitcoin falling by more than 17%. But its part of the answer to the question, Why is crypto crashing?

Another reason crypto markets went down was due to news that the tax man is about to cometh.

Bitcoin Whales Accumulating Crypto

Large bitcoin holders are stocking up on cryptocurrency following the latest price dip, new data shows.

Figures from on-chain and social metrics platform Santiment show that over the last seven days, while BTC was floundering below the $60,000 level, bitcoin addresses holding between 100 to 10,000 bitcoins have added roughly 59,000 bitcoins to their holdings representing 0.29 per cent of the total circulating supply.

Bitcoin whales accumulating crypto is typically a sign that they are bullish about the price trajectory of the cryptocurrency.

After sliding down closer to the $56,000 mark on Wednesday, bitcoins value is inching closer to $58,000 and has grown by over 2.5 per cent in the last day.

Ethereum has also grown by about 2 per cent in the last 24 hours and is currently valued at about $4,300.

However, other leading cryptocurrencies, including solana and cardano have dropped in value by 1 to 3 per cent while polkadot and dogecoin remeain nearly unchanged in the last day.

The overall crypto market shows signs of growth, increasing in value by about 1.5 per cent in the last 24 hours, and is currently valued at about $2.6 trillion.

Recommended Reading: What Are The Newest Cryptocurrencies

Why Is Crypto Crashing Now Fortune

Why is crypto crashing now?.

GitHub alone currently stores the code of more than 1600 cryptocurrencies . The number of people accepting bitcoin for their salary reflects a growing trend in the market. As more individuals see crypto as a hedge against inflation, the adoption of digital currencies may help it become more mainstream, says Micah Carnahan, a crypto expert at Finder. For example, just as there are day traders and swing traders with stocks, there are also active traders in bitcoin. Since the value of the currency is so volatile, it may be possible to profit from short-term swings.The biggest contributor was SoftBank, which reported a quarterly profit of $11 billion because of a surge in value of some of its investments, including Uber and DoorDash. In the past two weeks, shares in the video game retailer have been on a wild ride spurred on by retail traders hyping the stock in a Reddit forum that has made fast winners and losers of amateur investors. West Texas Intermediate futures, the U.S. crude benchmark, rose more than 2 percent to about $58 a barrel, above the high from early 2020. During the first few months of the pandemic, oil prices collapsed, with some futures briefly dipping into negative prices.

Crypto Is Crashing Today But Bulls Are Buying The Dip


Todays crypto woes once again largely stem from Bitcoin. The crypto surged over $20,000 since late July in an effort to reach the same highs above $60,000 it saw earlier in the year. Recently, it came close to the $50,000 mark, and lots of bullish sentiment had built around Bitcoins return to form. Over the weekend, however, Bitcoin refused multiple times to cross the $50,000 threshold. This is prompting some to take profits and flee, thus lighting the fuse of a big crypto selloff.

Bitcoin is dropping 7.5% as a result of the big sell. Of course, this is prompting a flash crash due to Bitcoins market influence. Ethereum is dropping nearly 9%, as is Cardano. Meanwhile, Binance Coin is down nearly 10%. Nearly every coin of the top cryptos by market capitalization are trading down this morning.

Of course, crypto bulls are not concerned with crypto crashing today. Rather, they are rallying others to buy the dip, prompting a #buythedip trend on Twitter. Thousands of posts on the platform are calling for crypto holders to deepen their wallets with this buying opportunity.

On the date of publication, Brenden Rearick did not have any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Article printed from InvestorPlace Media,

Recommended Reading: What Can I Buy With Bitcoin

Cryptocurrencies See Red As Fears Of A Crypto Winter Bite

Its not a good day if youre a crypto trader. All major cryptocurrencies are crashing this morning. At the time of this writing, CoinDesk is showing bitcoin is down 8%, ethereal is down 9%, dogecoin is down 8%, and Shiba Inu is down 6%. Other top cryptocurrencies are all in the red too, down anywhere from 7% to 14%.

So whats going on? CoinDesksays that two main things could be spooking the crypto markets this morning. First, Twitters CFO Ned Segal said that investing the companys cash in cryptocurrencies doesnt make sense right now . Segal cited the overall volatility of crypto as the reason for shunning the digital tokens. And given the way the crypto markets are reacting to his comments, the volatility argument seems solid.

But another reason cryptocurrencies are crashing today could be down to the infrastructure bill President Biden signed into law yesterday. As CoinDesk notes, that bill requires brokers to report traders who transact more than $10,000 worth of crypto to the IRS. However, the bill doesnt fully define what a broker is, and many worry it could include bitcoin miners, creating tax reporting red tape.

The 2017-2018 crypto winter saw bitcoin fall from a then all-time high of over $17,700 to a low of around $7,500 in less than two months. Bitcoin reached an all-time high of just over $68,500 last week. As of today, it is down to just over $60,400 per coin.

New Covid Variant Found In South Africa

Bitcoins price plummet levels previously seen in early October come just weeks after the worlds largest cryptocurrency reached a new record high of $69,000 in value on 10 November.

The cryptocurrency market was down by 7.92% on the last 24 hours as of 12.30pm today, according to Coinbase, with cryptos down as nerves over Covids impact on markets take hold worldwide.

Bitcoins price has fallen by almost 7% at the time of writing on the last 24 hours, with Ethereum down 8.88% on the last 24 horus and Cardano’s price down by almost 10% on the last 24 hours.

Here’s why the crypto market is down today, why Bitcoin price has dropped along with Ethereum, Solana, Cardano, XRP, Shiba Inu coin and Dogecoin – and how much cryptos are down today.

Don’t Miss: How To Keep Your Crypto Safe

What Do Its Backers Say About It

Some supporters believe bitcoin could eventually replace fiat currencies thanks to the growing popularity of digital payments. Others also say it is protected from manipulation by governments and central banks, offering a more democratic payment system.

Meanwhile, investors believe it can provide a hedge against inflation, and analysts at JP Morgan have even likened it to haven assets such as gold.

What If Youre Interested In Crypto But Havent Yet Invested

Why Is Crypto Crashing Right Now / Why Buying Dogecoin on ...

Yangs set it and forget it approach to crypto reflects his philosophy for investing in the traditional stock market, but some experts feel cryptocurrency is too different from traditional investments to draw any historical comparisons. Thats why AShira Nelson of Savvy Girl Money is staying well away.

Nelson primarily invests in low cost index funds because I can see history on that, she says. The newness of cryptocurrency and lack of trackable data make her wary of these crazy swings.

Potential investors looking to buy the dip should understand that fluctuations are par for the course, and be prepared for this kind of volatility going forward. Even if you invest now, with prices relatively low, be prepared for them to fall even more. Again, only put in what youre comfortable with losing after youve covered other financial priorities, like emergency savings and more traditional retirement funds.

You May Like: When Will Bitcoin Rise Again

Popular news
Related news