The price of bitcoin seemed to be stabilising above $8000 USD hovering to new a peak of around $8500 USD this week but suddenly the price of the cryptocurrency fell sharply to $7565.42 which brings its downfall to -7.09 percent lower than yesterday. We at EtherDesk are receiving a lot of messages from our readers world wide to write something related to this market crash. We surveyed different exchanges. referred to crypto experts and analysed market statistic graphs to get a clear view of this current Bitcoin Crash to let our readers attain a clear vision. Here’s what we have analysing the bitcoin market activity price chart via CoinMarketCap:
The total market capitalisation of cryptocurrencies after this downfall is around $271.48 Bln, but is still currently higher than the this months average capitaiisation of $246 Bln. The two major reasons concluded from this downfall are:
Firstly talking of the bitcoin market activity graph, which shows no visible breakdown pattern. But is this really happening, at least not for now. Cryptocurrencies prices are volatile to trading regarding their availability and supply. This current breakdown of around 7.07 percent seems nothing if compared to its previous breakdown of Dec.-Jan. which was around 40 percent. Thereby, the daily chart is referred at this point rather than comparing this downfall with the weekly chart. The point in this is that referring to the daily bitcoin index price chart, the current ongoing market patterns seem to be more clear rather than comparing it with the index charts of previous bitcoin price waves.
However, looking to at the daily market price chart, the price seems to be stabilizing now with little signs of improvement.
The Second major reason expected of this downfall is related to a major crypto exchange ‘HitBtc’ going offline. As at the current time of writing this article, the company has claimed hardware failures due to which its services for a mass number of users are halted. Its expected that the market will soon stabilize from this downfall once the fixes are made and the exchange is online back.
Taking of other cryptocurrency altcoins, the whole crypto market seems to be in red too after the downfall of the major currency ‘Bitcoin.’