Reasons for the sharp fall of virtual currency in 2018
in the current situation, blockchain is not a mature technology. What the market values is the so-called prospect, and it will take time to improve and excavate it slowly. However, the collapse of virtual currency is just a return to its own value
in short, I think bitcoin will continue to grow slowly after falling below a certain price. The current slump is just that the funds attracted by the previous heat have discovered the characteristics of virtual currency (hacker attack, dealer trading, these two situations will probably only appear in the newly issued currency, which is determined by the characteristics of blockchain, in other words, Hackers may also attack bitcoin in the early stage, but the more people and nodes bitcoin enters, the lower the probability of this situation, and the more difficult it is to generate)
in addition, I think that a large number of people in China even don't know what bitcoin is, so they are ready to make a fortune with money.
In the early morning of January 2, Beijing time, foreign media reported that at the beginning of the new year, the life of bitcoin has been difficult
this is the first time since 2015 that the cryptocurrency has opened a new year in the form of a sharp fall, further aggravating its decline since it hit a record high of $19511 on December 18
The surging trend of 
has given birth to a variety of other cryptocurrencies, and also made bitcoin enter the wall street in the form of futures contracts. On December 18, the Chicago Mercantile Exchange launched for the first time a derivatives agreement that some traders thought would encourage short positions, and bitcoin peaked a few hours later
virtual is always virtual
in addition to being depressed by profit taking, worries about the order processing capacity of Ethereum also contributed to the sharp drop in the price of this digital currency. Last week, the price of Ethernet currency once "collapsed", falling from more than $300 to 10 cents in a few minutes because of the network congestion caused by too many orders.
According to
crypto cred, this situation may indicate that there is not enough momentum to do long in the market
in addition, crypto cred also believes that the consolidation of bitcoin in the previous three months is a range consolidation, not a triangle consolidation, so once the horizontal support line is broken, the market sentiment will become very pessimistic
crypto cred also pointed out that in the daily K-line chart of bitcoin in September, the closing price of 24 days was lower than that of the previous day, which also showed that the whole trend was developing in a bad direction
Future trend, how to develop< p> Ledger status points out that bitcoin's stepping back into the $8000 or even lower range is likely to prepare for future actionshe believes that bulls need to take back several key positions first. First, bitcoin needs to go back above $8400, which is the 200 day moving average
he explained that if the price of bitcoin could get back to $8400, it could rise rapidly and retest $9400. After that, if bitcoin can further break through the previous integration range, it is very likely to create a new annual high
However, unfortunately, the 200 day moving average is becoming a strong resistance line. If bitcoin fails to break through this position, it is likely to go further down to the low of $6000however, ledger status also points out that even if bitcoin goes further down to $6000, technically speaking, the long-term bullish trend has not been broken. He said,
"I remain bullish for a long time, unless bitcoin falls below its 200 week moving average (currently about $4600 and is still climbing), which marks the bottom of the first two bear markets."
finally, ledger status said that if the price of bitcoin can rebound above the 200 day and 20 week moving average, it will be quite optimistic for the market
up to now, the price of bitcoin is US $8070.5, and the market value of bitcoin accounts for about 67.1% of the total market value of the whole cryptocurrency
Bitcoin, which recently peaked at $64000, has fallen below $52000. Now many people have left the market, and the whole market has volatilized 37.9 billion yuan. it is common for the whole virtual money market to fall and rise sharply. This fall may be e to the technical adjustment of operators, because the head structure of bitcoin has come out in the medium term, and it is bound to fall under normal circumstances, because it has almost reached the peak in the short term
bitcoin is destined to be a target of leek cutting in the eyes of Warren Buffett, bitcoin has risen so high, I personally think that the market is no longer regulated, and many risks have been obvious, but there are still many people looking for stimulation and have been frantically squeezing their heads in
now many video card players have begun to mine. In the past, almost everyone in many video card forums was discussing virtual currency, even operating virtual currency. Most of them are optimistic about the future of virtual currency, because virtual currency is g out free of charge. If they have a graphics card in their hand, they can make profits after calculation. If they can make profits, except for electricity charges and losses, it is suggested that mining can be carried out, but it is a waste of resources
in the long run, I don't think bitcoin has reached the end. The price of bitcoin is too high. A virtual currency that can't be seen or touched can be fried to more than 30 thousand pieces. Now, if you buy it, you may be able to harvest leeks further. However, if you play short-term, there may be a certain possibility that you will make a profit, but the risk is too big, so it is not recommended that you enter the market now
The sudden drop is e to various reasons. The first is the policy supervision problem
According to Yingwei financial news, several online reports attributed the decline to market speculation that the US Treasury Department may crack down on money laundering through digital assets. It is understood that US Federal Reserve Chairman Powell recently publicly said that he does not support virtual currencies, and he believes that they are not really actively used for paymentin addition, European Central Bank President Lagarde in January this year aimed at the role of bitcoin in promoting criminal activities, saying that the cryptocurrency has been promoting "interesting business"; The Central Bank of Turkey has issued "Regulations on the prohibition of encrypted assets in payment", announcing that payment with cryptocurrency will be prohibited from April 30. The government also pointed out that cryptocurrency wallets are easy to be stolen, and irreversible transactions are also worrying
in March 2020, the Supreme Court of India rejected the Central Bank of India's 2018 policy of prohibiting banks from participating in cryptocurrency related transactions. This news led to the influx of Indian investors into the cryptocurrency market, but then, the Central Bank of India once again expressed concern about cryptocurrency, and some officials disclosed that India will propose a new bill to ban all cryptocurrencies...
policy regulation has always been the most serious problem facing cryptocurrency, and in addition to that, The CEO of coinbase just mentioned above cashed out 290 million US dollars by selling the company's shares, and the accumulated internal cash out exceeded 4.6 billion US dollars; Alexia Haas, chief financial officer of coinbase, cashed out about $99.32 million at $388.73. All of these actions have caused instry panic
extended information:
there are many advantages. Cryptocurrency is in a bull market recently
in the last two months, cryptocurrency Market has seen a collective rise and prosperity. Take bitcoin as an example. Since it broke through the $50000 mark again in early March, the price of bitcoin has been steadily higher than that level. Bulls even pushed the price up to an all-time high of nearly $65000. Behind this, it is the news that PayPal has entered the field of cryptocurrency, and more importantly, it is the attention of traditional capital
In February this year, JPMorgan Chase, the largest financial services institution in the United States, will launch JPM coin, an encrypted digital currency, to settle payment transactions between customers in real time; Big banks, including Goldman Sachs and Citigroup, are also expanding their services to cryptocurrencyBitcoin prices plummeted in the early morning, falling nearly $33 in four hours. The reasons for the decline are as follows:
1 2 3 bitcoin, as an emerging instry, is loved by many people. The financial attributes of bitcoin blockchain can change the future of the Internet, which makes a lot of speculative funds start to speculate compared with bitcoin. After the speculation, they may face great risks. The price of bitcoin plummeted in the early morning, and fell nearly $33 in four hours. The reason for the decline is that the valuation is too high. The market has been panicked. A digital currency can be worth more than 300000 yuan. This is something that many people can't imagine. The key is that such a virtual currency has not been recognized by any government. After the speculation of investment funds, it has been out of business, No one is willing to take over at a high level, which is the main reason for the decline recently, bitcoin led virtual currencies have seen a large-scale rise, which makes a lot of speculative funds make huge profits. At this time, they will sell bitcoin if they want to cash in their profits. If the selling is too big, someone will lower the price, This led to the fall of bitcoin, which led to panic
Virtual currency itself is relative to virtual currency, and e to the lack of effective market supervision by the government, it is easy to be manipulated by some capital, therefore, it will also appear the phenomenon of rising tide and rising ship. On the other hand, when the capital is tough and wrong, it will also appear the behavior of cutting leeks. Therefore, most people who invest in virtual currency also need to be cautious, The big fluctuation is also e to the following reasons{ RRRRR}
3, it has to be said that the bitcoin market lacks an effective economic regulatory system, so there will be a series of problems, precisely because some people's opportunistic behavior will also aggravate the phenomenon of market volatility< p> In fact, we will find that the bitcoin market itself is highly virtual and lacks an effective legal tender supervision system, which leads to a lot of uncertainties in the currency itself. On the other hand, the opportunistic behavior of investors is bound to aggravate the market volatility and lead to the instability of the price valuethe reason why the investment in the currency circle fluctuates greatly is that the virtual currency itself is not legal tender, so there is no effective regulatory system. just because of this, the market fluctuates greatly and is easily affected by capital. On the other hand, some people's deliberate or unintentional opportunistic behavior will also increase the fluctuation of value, As a result, some people are doomed to suffer
because these two currencies are not worth money, they are counterfeit currencies. To some extent, they are the worst currencies in virtual currencies
for small partners who do not invest in virtual currency, smart currency and pig currency are relatively unfamiliar concepts. In fact, even if you invest in virtual currency, if you do not pay attention to the latest news, it is difficult for you to know what these two currencies are, because the information update speed in the blockchain circle is too fast, and many people can't keep up with the pace
sMARs and pig currencies have seen a sharp drop because dog money is very popular recently, a lot of virtual money about animals came into being. In other words, any cat and dog can be directly released as a virtual currency. Smart currency and pig currency are two of them. In addition, there is the so-called Shiba currency. Before these currencies were put on the stock exchange, they rose by 5-40 times, but in a short day, they also fell from 40 times before{ RRRRR}