Here’s why Bitcoin Crashed Hard today.
Was Bitcoin the only crypto down?
Bitcoin is probably the most trending form of currency (or cryptocurrency..) these days. With its value jumping from $8000 to nearly $20,000, it has been in the limelight of investors.
Well that run hit an abrupt end today as the price crashed as much as 23 percent on Coinbase. The price briefly dipped below $12,000 on some exchanges at around 7:30 am London time.
The drop wiped more than $4,000 from the value of Bitcoin at one point. It was also the highest percentage loss of value that bitcoin has seen this year. The cryptocurrency was valued at just $998 on January 1 2017 and it soared to a record high of nearly $20,000 on some exchanges earlier this week.
Not just bitcoin but even other forms of cryptocurrency have lost a significant value. Ethereum (down 20 percent), Bitcoin Cash (down 30 percent), Litecoin (down 21 percent) and nearly every high-profile altcoin lost value over the last 24 hours, according to Coinmarketcap.com.
Ripple was up seven percent, and just one of two coins to remain green over the past day.
Bitcoin isn’t the only crypto plunging, all but two of the most valuable 100 coins are down in value over the last 24 hours https://t.co/FfWgyk8F2u pic.twitter.com/ZnnmoUG3xP
— Jon Russell (@jonrussell) December 22, 2017
The reason for the depreciation is anyone’s guess in the same way that nobody knows exactly why bitcoin’s price has slot up from a touch under $1,000 at the start of the year — although many do attribute that to financial institutions embracing the cryptocurrency.
That’s only likely to increase in 2018. Reports today suggest Goldman is preparing to trade bitcoin and other cryptocurrencies next year.
Goldman is one of a handful of financial organizations to offer Bitcoin Futures for selected clients. CBOE was first to offer the trading option on December 10, and it has since been joined by CME. There has been opposition from some banks who expressed concern at a lack of transparency and regulation around Bitcoin Futures.
What do you think of bitcoins or other cryptocurrency? Will the price go up again? Let us know in the comments section below.