The bitcoin, the ethereum and the other crypto-currencies are stabilizing after their mass sales earlier this month. Now the question is - what will this consolidation be followed - with a recovery of the fall, or with a test of the recent peaks?The strikes for crypto-lows this month were from several directions. China first declared ICOs illegal and made investors return the newly bought new coins. The country then banned local crypto-exchanges.
There were a couple of strikes from experts like Jamie Dimon, who announced the bitcoin a fraud and financial balloon and from Mohamed El-Erian, with the view that the bitcoin could lose a third of its value.
The latter were joined by Ray Dalio, the head of the largest hedge fund in the world, commenting that the bitcoin was a bubble, according to the internal rules of the institution he was managing.
Still, the bitcoin and the ethereum stopped with their fall. The bitcoin lost 30% of its value, or in accordance to El-Erian's forecasts.
Last Friday, the bitcoin dropped momentarily to $2,951, but eventually returned much of the lost. Still, the digital currency is traded below the psychological limit of $3,000.
Many investors believe that what is happening at the moment is very similar to what happened in August, when the bitcoin lost 34% of its value as a result of the "difficult fork" that led to the appearance of a bitcoin cash.
Subsequently, however, the currency recovered everything lost and rose to a new historic peak. Will it happen again soon? This is about to see...
No comments:
Post a Comment