The reason of virtual currency falling sharply
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.
2. According to the analysis of Securities Daily, the so-called blockchain technology itself has too many limitations to be applied to the payment process in real life, such as the algorithm is too slow
3. Based on the above analysis, Securities Daily suggests that we invest rationally.
the price of bitcoin is determined by supply and demand. When the demand for bitcoin increases, the price of bitcoin rises; As demand decreases, prices fall. At present, only a few bitcoins are in circulation, and new bitcoins are issued at a predictable rate of graal decline, which means that demand must follow this inflation level in order to maintain price stability. Compared with the market scale it may become, bitcoin is still a relatively small market at present. It does not need a lot of money to make the market price fluctuate up and down. Therefore, the price of bitcoin is still very unstable.
1: the bubble is too big and the price is too high.
Two: there are too many coins, less bills and more bills
Three: platform smash, too many players will also smash
Four: no one will play if you give less empty coins. If you give more, you will smash the plate. If you smash away, you will smash it next
Five: what you can dig is also free. You can only dig but not buy it. You can sell it when you dig.
For these digital currencies, the overall price rise is closely related to the overall international economic situation and the control of bitcoin by various countries{ RRRRR}
and for the current bitcoin market, many speculators have entered the market. Some large capital institutions will make on-site speculation on bitcoin in various ways. When a large number of funds enter the bitcoin market, it will push up the price of the whole bitcoin, but when part of the funds withdraw, It will make the price of bitcoin drop sharply
The reasons for bitcoin's collapse are as follows:
1. Tesla stopped bitcoin payment, which made bitcoin lose its payment function 2 with the increasing popularity of the Internet, more and more people begin to pay attention to emerging instries. As a leader in the emerging instry, bitcoin has developed very well in recent years. Bitcoin has been regarded as the air outlet for the transformation of the Internet instry, which shows that bitcoin technology has been recognized by many people, and the valuation of bitcoin is also rising. Bitcoin plummeted because Tesla stopped bitcoin payment, which frustrated many people's desire to become a new payment tool; Musk suggested that the company had cleared its position and sold bitcoin, which led to the short of bitcoin and the loss of long momentum; Finally, many bank accounts do not allow bitcoin trading, which makes bitcoin face regulatory risks and thus lose liquidity
Recently, the attention of the emerging cryptocurrency, dogcoin, has been on the high side. In this round of sharp decline caused by the cryptocurrency "big market" bitcoin, dogcoin has been falling all the way; It fell to as low as $0.4 a piece and was almost cut off. As for the reasons for the sharp drop of the currency circle, the foreign exchange survey has some opinions:
1, the demand for the currency circle has decreased
under the trend of epidemic spreading, there are fewer transactions around the world, people become more conservative, and the total amount of social consumption is greatly reced. At this time, the transactions settled with bitcoin are greatly reced, the demand is reced, and the price will fall
The risk of price collapse is highaffected by capital speculation, the price of virtual currency has gone up and down, which makes it difficult for ordinary investors to predict and easily lead to position explosion and loss. In history, cryptocurrencies such as bitcoin have suddenly dropped at the peak for more than ten times. Recently, behind the dog coin's crazy rise and then plummeting, is a "leek cutting game" in which the capital tycoons represented by "Musk" reap ordinary investors
3. Virtual currency has no intrinsic value and the risk is very high
virtual currency does not have the function of currency transaction in essence, and it is not recognized by any country in the world. At present, the price of cryptocurrency is rising sharply, mainly e to speculation caused by market speculation. Once countries in the world explicitly deny the value of these virtual currencies that are not controlled by the state, the virtual currency will instantly become worthless, And the virtual currency held by the majority of investors will be completely locked up
although dog coin is now the fourth largest cryptocurrency with a market value of 68 billion US dollars; Second only to bitcoin, Ethereum and coin. It may be the "asset" with the biggest increase in recent years. However, the reason why people can not establish their faith is that the market has not yet reached a certain consensus, and they do not understand what role the dog coin will play in the future. From the perspective of investment, for such cryptocurrencies, which are not practical and mainly rely on financial attributes to tell stories, it is quite worrying to tell the truth
in terms of investment, cryptocurrency is very promising, but please be cautious no blind obedience and no faith in dog money; Dog coin, as musk put it, "is just a fun collection" or "joke."
The reason why bitcoin has fallen sharply recently is that for some institutional investors, they have withdrawn from the bitcoin market one after another. Therefore, the withdrawal of a large number of funds has led to a huge decline in the whole bitcoin market. As a result, some small investors have seen a certain degree of price decline, which has also triggered a certain degree of panic, So one after another selling bitcoin, making the price of bitcoin continue to fall{ RRRRR}