We’ve been messing around with crypto for ten years now and, unless you were one of the very early investors, it’s still a massively unstable market.
The high-profile predictions that we’ll all be moving to a crypto-based economy are met by constant reports of Bitcoin and other cryptocurrencies crashing through the floor in value.
And today is no different with the news that the price of Bitcoin continued to plunge this morning and even reached its lowest value of 2018.
According to Sky News, the price of Bitcoin fell by 7% to $4,387, taking its losses to almost 30% in the past week.
And this comes on top of Monday’s crash, when the cryptocurrency fell by 14% to below $5,000 for the first time in 13 months. It is now at its lowest level since October last year.
And it wasn’t just Bitcoin that suffered - Ethereum’s Ether lost 10% and Ripple’s XRP was down 13%.
“The crypto bloodbath continues,” Neil Wilson, the chief market analyst at Markets.com, told the news outlet. “Things look like they only get worse from here. Where is the incentive to buy? It does rather look like the bottom is coming out of this market.
“Bitcoin has easily breached key psychological support at $5,000 and with it trading at $4,500 the move back to the September 2017 lows at or just below $3,000 looks eminently achievable.
“The spillover into other crypto assets matters. Bear target should be 0, as that is what they’re worth.”
The crash came after the US Securities and Exchange Commission took action against two crypto startups on Friday that begin selling crypto tokens to the public.
Airfox and Paragon Coin agreed to pay civil penalties for conducting token sales last year without registering them as securities offerings, according to The Guardian.