The cryptocurrency market has seen some tumultuous times over the past few weeks. One of the biggest victims of this market crash is Bitcoin, which is plummeting to new lows.
This trend of Bitcoin’s price moving down is not new for investors with cryptocurrencies in general. Many experts believe that this trend will continue until regulatory clarity or major breakthroughs regarding cryptocurrency technology and adoption globally.
Bitcoin has been trading below the $50,000 mark. Currently, a single coin costs $47,000. This is a reduction of 14% from seven days ago and up to 17% from 24 hours ago.
Naturally, cryptocurrencies are dropping in value with bitcoin, which continues to operate as a “herd leader.” At the moment, one ether is priced at $3,905. This is a weekly decline of 5% and a daily decrease of 14%.
According to an unidentified Plan B analyst and developer of the S2F bitcoin price model, this is only a correction. In his most recent tweet, he demonstrated that bitcoin saw a similar fall in 2017, exceeding 30%.
Why is bitcoin’s price falling?
Bitcoin has seen a sharp drop in value recently, with the price falling from more than $9000 to around $47000. This is most likely due to the increased regulations on cryptocurrencies in some countries.
Since its inception, bitcoin has been notoriously volatile with prices varying significantly over time. This volatility has made bitcoin attractive for speculative investment, and many people have found success by investing in Bitcoin through various trading techniques such as day trading and swing trading.
This downward trend is not just limited to Bitcoin, but can be attributed to the overall cryptocurrency market as a whole that has been plagued by lack of regulation and governments trying to crack down on this market.