The Reasons Why The Price Of Bitcoin Has Fallen Below $10,000? Jan 2018

The price of bitcoin has fallen below $10,000 for the first time since early December.

The cryptocurrency’s value has hit a low of $9,714.02 as of press time. The last time bitcoin’s price was below $10,000 was on Dec. 1, BPI data shows.

Over $200 billion wiped off the value of cryptocurrencies

More than $200 billion was wiped off the value of global cryptocurrencies at the peak of the sell-off

Bitcoin, ethereum and ripple, as well as other smaller digital coins fell sharply in price

The sell-off was sparked by talk of tougher regulation in the key markets of China and South Korea

VIDEO: Why The Crypto Market Is Falling Down?

Bitcoin continues rapid slide as Russia and China stoke regulatory fears.

Bitcoin dropped a further $2,000 in value, leading the general slide across cryptocurrency markets as investor confidence waivers

Suggestions that Russia and China may crack down on trading

Bitcoin led the fall on other cryptocurrencies, including Ethereum and Ripple, over suggestions that Russia and China may crack down on trading.

Beijing had shut down Bitcoin exchanges and ban all initial coin offerings

Chinese state media reported that the government planning to stamp out remaining cryptocurrency trading in the country following its crackdown last year, which saw Beijing shut down bitcoin exchanges and ban all initial coin offerings.

Russia’s Legislative Regulation Over Cryptocurrencies

The Russian premier Vladimir Putin said on Tuesday that while the Russian Central Bank currently has sufficient powers, that “in broad terms, legislative regulation will be definitely required in future”.

Shuhei Fujise, chief analyst at Alt Design, said: “Cryptocurrencies could be capped in the current quarter ahead of G20 meeting in March, where policymakers could discuss tighter regulations.”

Bitcoin is finished?

Makoto Sakuma, analyst at Tokyo-based NLI Research Institute, said trading volumes had been low despite the volatility. He said: “I would say the strong rally in bitcoin and other cryptocurrencies we saw last year is over. But while the rally phase is over, I don’t think it is right to say bitcoin is finished.”

Ripple has dropped to $1.07, down

According to data from CoinMarkCap, the third-largest cryptocurrency Ripple has dropped to $1.07, down 22.8% in the last 24 hours and down from a high of $3.80 on 4 Jan. Similarly, Ethereum, the second most popular cryptocurrency, was down 15.5% to $926 and down from $1,431 on 13 January.

WATCH: Could Bitcoin be the biggest bubble in history? – here’s how?

 

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