Bitcoin Price Prediction Today: Why is Bitcoin consistently falling down?

bitcoin trading news

Bitcoin is trading around $ 8900. It has fallen significantly from the highs of $ 11,500 which it made just 3 to 4 days back. The reasons for its fall are plenty.

Reasons for the fall:

Many of the traders, as well as experts, believe that the crackdown by authorities like SEC, as well as CFTC of United States, are making the Bitcoin fall.

Bob Pisani, has clearly stated that most of the cryptocurrencies are falling owing to the increased regulation. The fall has been much more pronounced in the last 48 hours.

According to him, the consumers need to be more careful when investing in cryptocurrencies. Now that, the cryptocurrencies will be regulated by federal law, the consumers have to follow each and every small rule and regulation for investing in cryptocurrencies.

Currently, however, most of the cryptocurrency platforms are unregulated. This is the main reason why any regulation will 1st reduce the number of users who are investing in cryptocurrency. Only when the rules and regulations are transparent, the number of users will be able to comply with them and the investors will increase as well.

Till then, however, the crackdown by SEC will actually increase the risk of investing in most of the cryptocurrencies. Already, there are rumors that SEC will be banning ICO’s as well. SEC has strongly advocated the registration of ICO’s with the organization before actually raising money from the investors.

With the number of ICOs going up each and every month, the risk of investing in ICOs is also increasing.

Currently, many of the investors are liquidating their position in the fear that they will have to comply with new rules and regulations pertaining to cryptocurrencies. Also, recently a court also ruled that CFTC has the jurisdiction over cryptocurrencies.

That is why CFTC will be able to act against cryptocurrency investors which are not following the rules and regulations.

Bitcoin is not the only cryptocurrency which is fallen by a significant amount. Other cryptocurrencies like ripple have also fallen by approximately 25% or more.

This is the reason why many of the investors are trying to figure out if the fall is temporary or if it is much more than just a downward impulse. Investors are also fearful that Bitcoin might not rise soon enough. This will mean that many of the investors are actually stuck in the cryptocurrency.

David is passionate about learning cryptography, tech and the Internet. He has years of experience working at international investment projects. Growing interested in Blockchain and cryptocurrencies in late 2015, he joined Smartereum as an editor.


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