Bitcoin is here to remind you that it is falling again, losing $18bn in 24hrs

May 23, 2018 1:51 pm

Bitcoin is worse off today, down again, falling below the $8000, $7837 to be exact at publishing time.

According to Coindesk, Bitcoin’s price slip meant it hit a 35-day low.

Starting from May 23 trading US trading session, the world’s largest cryptocurrency started to fall, dropping to its lowest point since April 18.

“After steadily climbing up to nearly $10,000 on May 6, Bitcoin’s price has been on a gradual decline, reflecting a 20 percent drop over the past two weeks,” said Coindesk.

Read: 3 crypto currency developments that will leave you stunned!

Bear market?

The good news is that the current price level is still 30% higher than Feb 5, 2018 when it hit $5,947.

“Bitcoin had briefly peaked above $8,600 on Monday, giving investors a false hope that it would make a run back toward $9,000. Unfortunately, this rally proved unsustainable, and the crypto lost about 5% of its value,” said CCN, an industry site.

“Bitcoin’s sluggish performance has not been an isolated occurrence. The cryptocurrency market cap as a whole has declined by approximately $18 billion for the day, from $381 billion on Monday to $363 billion.”

Nearly all of the top 100 assets by market cap are showing 10 to 20% declines at press time.

According to CoinMarketCap, both XRP and Bitcoin Cash are trading at a one-month low at $0.63 and $1,120 respectively.

Read: Own a stake in the future floating crypto city with Varyon

Actors and Factors

The recent market downtrend has been linked to several factors, including a scandal involving South Korea’s two largest cryptocurrency exchanges, Bitfinex’s announcement that it will share some users’ tax information with the government, and the belief that the trustee of the Mt. Gox estate has begun selling more of the bankrupt exchange’s cryptocurrency holdings, according to CCN.

The CoinTelegraph meanwhile said that in a report issued by China’s Ministry of Industry and Information Technology, the government reiterated its position against “certain risks that cannot be ignored” in regards to ICOs, pyramid schemes, and fraudulent behaviour related to cryptos.

“In addition to regulatory fears, hype surrounding a possible rally following Blockchain Week and the Consensus conference in New York was proven to be a dud. Co-founder of Fundstrat Global Advisors Tom Lee, who is famous for his bullish predictions on BTC price, admitted that his prediction of a post-conference rally was wrong,” said The CoinTelegraph.

Read: The crypto hype hasn’t yet hit Saudi: Is the kingdom being overly cautious?  



Hadi Khatib
By Hadi Khatib
Hadi Khatib is a business editor with more than 15 years' experience delivering news and copy of relevance to a wide range of audiences. If newsworthy and actionable, you will find this editor interested in hearing about your sector developments and writing about it.