According to the trading portal Coinmarketcap.com, Bitcoin (BTC) rose by 0.46% in the last 24 hours. The price at the time of writing is $8315.
The indexes are growing, cryptocurrencies are in the green zone again, although the increase in the rating is no more than 8% of the cost. Ripple added 1.25%, Monero increased by 3.06%, Stellar added 1.32% to the value, EOS rose by 7.30%. Litecoin grew only by 0.43%.
Ethereum is showing an increase by 1.42%. Its value at the time of writing is $704 per coin.
The total market capitalization is $383 billion. Bitcoin accounts for 36.9% of the total amount. It is $141 billion in monetary terms.
The current condition of the cryptocurrency market raises a number of question from traders. For the third day, the industry is either trying to revive Bitcoin and other cryptocurrencies, or just watching the collapse of the course. The question of what caused the collapse of the market and what should do those who still have cryptocurrency – makes world crazy. That is why, The Coin Shark have found answers for all of these questions and analysed per minute history of the fall of currency of Bitcoin.
The Chronology of the fall from 14th to 16th November
Wednesday, November,14 , Bitcoin break another 2018 bottom. According to data of CoinMarketCap, at 11:34 UTC the rate of the first cryptocurrency behaved stably, being at $6 365. Nothing foretold troubles, but at 17:19 UTC began unexpected fall, which last till the 19:19 UTC, where the price of BTC remained in half-dead condition at $5 765. Therefore, the capitalisation of the marked fell to $102 billion. After that, Bitcoin started to resist. In 20:04 UTC the currency show vital signs, increased to $5 858. But still, the end of 14th November was not a happy ending. In 22:48 UTC was settled a new record – $5 568.
If compare the data with an individual market, then on a Bitstamp the price of the BTC has already dropped to $5 534, and on the Kraken – $5 510. Last two weeks, Bitfinex exchange trade Bitcoin more than $6 000 per each unit. It turned out, that the 14th of November was still far from the end of BTC fall. According to CoinMarketCap, Thursday, November, 15, at 17:04 UTC, Bitcoin shocked everybody with the course of $5 358. On Bitstamp the first cryptocurrency down to $5 446, and on the Bitfinex – $5 638. At this point, this is the lowest course from the end of October, 2017.
The condition of the cryptocurrency market for the last year is unstable. It is accompanied by unexpectable highs, as well as painful falls. But not only Bitcoin drop it’s price position on 14th of November. Together with it, into a deep red zone came the major part of other cryptocurrencies. In doing so, the total capitalisation fell by $190 billion.
At the writing of this article, 16th of November, the condition of the cryptocurrency market is still in critical position – the course of Bitcoin stood at $5 500, and Ethereum backed down the second place in capitalisation Ripple.
What caused the collapse?
Just think about it, less than 24 hours ago, it was possible to sell the BTC on a thousand dollar higher. Probably, it is impossible to define why “the foundation was cracked” under the cryptocurrency, as for the example it can be done in a regular market. In the digital, the effect is first seen and only than the reason becomes known.
Reason #1: Contagious effect
On the basis of past, the cause of the fall have psychological nature. For example, people are massively starting to buy cryptocurrencies or fanatically selling.
Reason #2 : Direct correlation
Each financial currency pegged to its government, as for the example dollar – to the US economy. Cryptocurrency pegged with the people, which are both buying or selling it.
Reason #3: Global Bitcoin influence
Ironically, but there is a theory, that the general condition of the cryptocurrency is affected by Bitcoin. The value of all digital market is estimated in $182 billion, the $90 billion of which belongs to BTC. The majority of cryptocurrencies should be transferred especially in Bitcoin, before the sale. And now imagine, that selling of Bitcoin will start simultaneously several major players of the market. After this, the BTC prices are lowering, and this cause the panic attacks more than ones: “ Buy everything and as quickly as possible, while the price is low!” – this makes the course to grow.
What should do the owners of cryptocurrency: sell or wait?
It depends on the inner aspects of each owner. Even when the course is rising – it still have cycles of fall.
Who and how will affect the collapse of rate?
Cryptocurrency is the unstable tool. It’s system decentralised and doesn’t have the management center. Digital currency should strengthen the positions, so it can give the accurate forecast for the future. But, it appeared, that this fall will have no affect on ordinary users. There is no denying, that in a consequence many crypto-business will close. Cryptocurrency exchange are in the minimum risk area, as in such cases the number of transaction increases. Most of all, miners and the owners of the mining field will suffer the most. Since, the profitability depends on the price of extracted cryptocurrency. Within recent events, it is clear that mining is unprofitable occupation.
One of the main “fights” has started between the CEO of Bitmain Jihan Wu and a computer scientist Craig Wright, who have repeatedly gone at each other on the social media, claiming that their vision of Bitcoin’s future is correct. Later on, the “war” was joined by John McAfee who supported Jihan Wu.
Those who stand against Jihan Wu are a idiots who don't see the realities of the playing field. Please, get real. I will not let my ego destroy me by making me think I could challenge the only real power in this space. My email to him should make it clear to anyone where I stand. pic.twitter.com/WJBJyzaEAy
But they did. They hacked the account of Google. According to the report by The Next Web, one of the official account of Google on Twitter, GSuite, became another victim of the hackers trying to endorse their fake Bitcoin giveaway.
The representative of Google stated the following:
“This morning an unauthorized promoted tweet was shared from the G Suite account. We removed the tweet and are investigating with Twitter now.”
Twitter scammers are getting more and more intricate to make their fraud look like it’s not fraud. This time another scam involves a couple of popular brands (and, surprisingly, not Elon Musk).
A couple of unknown crypto criminals started spreading a tweet, encouraging the community to participate in a BTC giveaway. The scammers promised to give out $30 million worth of crypto. The tweet were quickly deleted, but some members of the crypto community managed to capture it.