Bitcoin, Ethereum, Ripple Fall Will Recover
The cryptocurrency market has extended its losses, as major digital assets are trading 13 to 25 percent below previous day’s prices. Digital-currency locomotive bitcoin has now slid below $11,000.
The $11,000 milestone is 45 percent below the $20,000 peak that bitcoin touched just one month ago. Ethereum also plunged below the psychological $1,000 mark, and is on track to lose all its gains in 2018, which reached 100 percent just four days ago.
Ripple was down over 20 percent, trading at $1.15. This is a three-fold collapse from the $3.65 peak it hit on January 4. Bitcoin cash, cardano, litecoin, neo and other top cryptocurrencies have also slipped by up to 25 percent from the previous trading session.
Cryptocurrencies are falling on reports that authorities in China are planning to widen their crackdown on trading in the country. A Chinese state-run newspaper Securities Times reported on Tuesday that Beijing will target over-the-counter trading, offshore sites used for centralized trading, and peer-to-peer trading of large transactions.
Bloomberg also reported that China will bar access to local and offshore platforms that provide centralized trading, and target traders who provide bids and offers for big-scale trading.
Another BRICS country, Brazil, has joined China and India in taking action against cryptocurrencies. The South American country has prohibited local investment funds from buying digital cash.
The world’s most popular cryptocurrency bitcoin was trading at $10,756 as of 9:20am GMT on Wednesday.
This is one of the most criticized cryptocurrencies on the market. Pegged to the dollar, its tokens are fully backed by fiat currency assets that the company holds in its reserve account. Trading at $1,03, this digital currency avoided the fall, and was up almost 2 percent. However, when a cryptocurrency is fully dependent on the US dollar, it is centralized. And digital money is liked because it’s deregulated. Also, last year there were reports that $31 million in tether was stolen.
G-BiT has been set up to be a real currency, there are the highest levels of security and Ant-Money Laundering protocols, the exchange is members only so is 100% hackproof.
GBIT is structured based on the principles of a central bank banking system with planned forks on 2-14 and 12-12-2018 and is tied to GBIT X, an alternate asset exchange.
This cryptocurrency grew over 12 percent to $0,046048. Siacoin is a cloud data storage service similar to something like Google Drive. It differs in that the storage itself is decentralized. However, the cryptocurrency’s creators and owners are known – they are IT company Nebulous Inc. So, the currency itself is centralized and hierarchical, which isn’t widely liked by those who favor bitcoin for its de-regulation.
SmartCash was a spin-off from the zcoin project and is the only digital currency on this list without a centralized status. Its growth reached almost 30 percent on Wednesday, but was soon curbed to 12 percent. However, its dynamics chart was reminiscent of a typical “pump-and-dump strategy.” Jumping from $0.35 to $2.66 (760 percent growth in a matter of two days), it soon plunged to below a dollar, but is being pumped again.
Latest posts by S. Jack Heffernan Ph.D (see all)
- Asian Market Update - October 25, 2019
- American Airlines Up, Evidence the Trump Economy is Strong - October 24, 2019
- Google Under Siege in France - October 24, 2019