Crypto Market Drops further : Where will it go from here? Over the past 24 hours, the market has witnessed a downtrend with decline of approximately $40 billion. All the top crypto currencies observed up to 20% decline in their value. Bitcoin was performing well with a steady growth but it pushed back to $8250. Let’s analyze the factors impacting the value of these digital coins.
Analyzing the factors
Analyzing the factors impacting price movements of crypto coins is one of the most daunting tasks. Since there is no established formula to know where will the currency go in the next hour? Rightly so, because if we would know where the price of a particular coin will go in the next move, we would all become rich. No one wants to make a losing trade. Traders are even investing thousands of dollars in purchasing the services and tools for that purpose.
Does your intuition catch the right signals?
While everyone is struggling and fighting to get the right prediction about the price movement, it is great if you can trust your intuition. There is a chance that the price will go down even if all the factors are showing positive signals. Then it comes to intuition. get a knowledge of your sense of judgment and see where did those trade ended which you predicted earlier. If you think you were spot on for most of the time then you should not rely on the outside factors.
The raid on the Korean crypto exchange UPbit might be the cause
Lets find out some of the reported incidents which may have affected the price. Let’s focus on the police raid on the south Korea’s biggest crypto exchange, Upbit. The raid carried on for two days which has forced the traders to panic sell and impacting the global crypto market.
Crypto Market Drops further: Where will it go from here?
Another significant incident was the sale of Bitcoins from Mt. Gox trustee. Previously, he announced that he will sell his funds until September 2018. he sold out more than 8000 bitcoins and market started taking an unexpected move.
How much the market dropped?
The market was performing well for the last two weeks with plenty of bullish predictions from the market leaders. The prices of all the major crypto currencies were surging green on the price chart and investors were flocking to trading. The market witnessed a daily loss of $30 billion, going down to $370 billion from $400 billion. In just a seven days period of time, the market witnessed a loss of more than $ 100 billion.
The market was predicted to see a upward trend
The way things were moving in the last two-consecutive weeks, everyone was predicting bullishly. Brian Kelly, found of BKCM was shocked that investors and traders did not push the price further.
Please read this: Bitcoin to reach $25000 by December 2018 predicts market kind Tom Lee
He says: “I’m actually a bit shocked that the market did not pick up on this. Dominic Chu of CNBC said that investors will get physical delivery of bitcoin. That doesn’t sound that interesting except for the fact that it means ICE exchange has a custody solution. That has been the big hurdle. How do you hold onto these assets? These are generally bear instruments, just like gold bearer bonds. That’s the big deal. They have come up with a custody solution for institutional holders”