We all know very well that the market for cryptocurrencies has become red. Recently the Bitcoin marked its historic high above $19,000 and now has plummeted slightly above $13,000. The Ethereum far exceeded $800, and now it’s around $600. And the Litecoin came close to $400, but it’s worth little more than $230 now.
Bitcoin, Bitcoin Cash, Ethereum, Litecoin Crashed!
The market for cryptocurrencies has become red. Recently the Bitcoin marked its historic high above $19,000 and now has plummeted slightly above $13,000. The Ethereum far exceeded $800, and now it’s around $600. And the Litecoin came close to $400, but it’s worth little more than $230 now. What is happening with virtual currencies? The panic has caused a major collapse.
Few problems for those who planned their long-term investments within cryptocurrencies. In the last month, Bitcoin has accumulated growth of over 60% despite its recent collapse, Ethereum of 76% and Litecoin above 235%. However, investors who entered with the ‘boom’ of just a few days ago are finding collapse of 24%, 6% and 21%, respectively. This week there has been a significant drop in the value of the main cryptocurrencies despite the fact that Bitcoin Cash’s entry in Coinbase boosted this virtual currency to over 4,000 dollars.
What is Bitcoin?
We can refer in generic terms that it is a virtual currency created in 2009, based on the peer-to-peer (P2P) system. P2P is a system that does not provide for centralized authority to control currency or transactions, as with other currencies (for example, the INR. is controlled by the RBI). Instead, money creation and transfers are based on an open-source network in encrypted protocols that form the basis of Bitcoin’s security and freedom, making transactions instantaneous among users.
The invention of a mysterious computer guru, who referred to his pseudonym Satoshi Nakamoto, this coin is created by means of a very complex mathematical formula.
The cryptocurrencies in red, panic seizes the Bitcoin market, the Ethereum and the Litecoin
The arrival of the Christmas campaign is a turning point for short-term investment securities. The sale of securities accelerates in a timely manner and there are stationary drops in the price.
But in the case of virtual currencies, the panic factor for its extreme volatility is another aspect that justifies this sharp drop in all values. The hacking of YoBit and its closure, in South Korea, has once again revealed the concern for the security of virtual portfolios.
The theft of 4,000 Bitcoins from this platform, the stationary drop and the panic factor seem to be the justification for this sharp drop in Bitcoin, Ethereum and Litecoin. The forecasts regarding the three main virtual currencies, together with Bitcoin Cash, have been broken.
However, with this sharp drop, a new opportunity has been generated by low prices. In spite of everything, during the year 2019, the values are expected to resume their upward trend. It is not the first time that there has been a strong drop like the one registered this week.
So, what do you think about this huge drop? Simply share all your views and thoughts in the comment section below.