Do you want to know more about the most tragic weeks for the crypto market for the entire 2018 year and maybe you interested in checking two main reasons for this depression? When can we expect a trend change? All the answers you can find in the full article below! Read, share and tell what you think!
“The past week has become one of the most tragic weeks for the crypto market for the entire 2018 year. Bitcoin has lost almost 38% of its price, Ethereum — 35%, and the total capitalization on Sunday fell below $ 120 billion, which corresponds to the levels of August 2017.
Bitcoin paired with the USD tested the $3,500 mark, having fallen by more than 82% from the historical maximum, the anniversary of which will come in about 3 weeks. Thus, the main cryptocurrency demonstrates the third deep correction in the entire history of trading.
Previous records: a fall of 94% in 2011 and 85% in 2014. Despite the sharp rebounds of prices <that we quoted>, apparently not all investors consider a discount of 80% attractive for significant purchases. In this review, we will focus on the psychological component of the current market situation.
It can be assumed that there are two main reasons for this depression. First, the critical level of fear in the market. This indicator is calculated on the basis of several parameters and can be seen here. Fear of further decline causes investors to ignore relatively low buying price levels.
The second reason for the lack of explicit demand is doubts about the prospects for Bitcoin and other cryptocurrencies. Many expected rapid adoption of blockchain technology, fast and favorable regulation for cryptocurrency, quick emergence of decentralized applications, etc. As soon as the majority understands that a “bright digital future” may not come tomorrow, but only in 3–5 years or even later, an element of frustration and the aforementioned fear factor come into play.
When can we expect a trend change? Only after eliminating one of the two factors. Either a significant number of fearful investors will get rid of crypto assets. Or a significant mass of investors will appear again, who are looking at Bitcoin not only through the prism of the price chart. The paradox is that the same people that admire the technology behind Bitcoin shortly thereafter talk about frustration and the lack of a real use for cryptocurrency.
However, if we compare the level of penetration of knowledge about the blockchain and cryptocurrency with the level of one and a half to two years ago, then we can say with confidence: many more people are interested in the cryptographic market. Moreover, a significant part already has experience with wallets for storing cryptocurrencies, using exchanges, etc. That is why it is no longer surprising that search queries on Google like “How to buy Bitcoin” have not been setting new records for a while. The fact is that many people already know how and where to buy Bitcoin, how and where to store it. The community has become larger and more serious.
On November 22, the crypto-ETP (Amun Crypto Basket Index ETP) was launched on the Swiss stock exchange SIX (Switzerland’s stock exchange). Find the information on this product here. Trading volumes are still small in comparison with crypto exchanges (in the range of $ 0.5 million). But this is only the beginning; in mid-2019, this exchange plans to launch a full-fledged section for issuing STO and trading in digital assets.
Everyone makes decisions about buying or selling based on subjective factors. The managers of Amun Crypto Basket Index ETP decided to launch their product on November 22, at a terrible moment for the market.”
Visit Tokenbox website: https://tokenbox.io
Tokenbox YouTube Channel: https://www.youtube.com/channel/UC6042bTB5UCk5atwqXGf80g
TBX on EXCHANGES: YObit: https://yobit.net/en/trade/TBX/USD
Bancor:https://www.bancor.network/communities/5a2ff27c4f1311000100b9e8/currency IDEX: https://idex.market/eth/tbx
Questions? Send e-mail to: email@example.com