The phrase: “I was told to buy bitcoin at the bottom, but it falls lower and lower!” - it has already become winged. Traders and investors in cryptocurrency are very interested in where this very bottom is, how long will crypto-zyma last and when will the market finally go up? We decided to sort out this issue.
The reasons for the fall of Bitcoin
Even before the start of Black Friday, Bitcoin collapsed below the psychological mark in 6000 $ and then levels of support made their way one by one. Then the price tried to consolidate at the level of 4400 $ and even lasted there for several days, but on November 25 BTC fell again and this time dropped below 3600 $. For many, this was the last straw and far from all survived this day, naturally we mean investments in cryptocurrency.
What happened in November that it became the worst month for Bitcoin in 2018? There are three versions of what pushed him to another long jump without a parachute.
- The first is that during the split of Bitcoin Cash into two 15 cryptocurrencies in November, two warring camps started a hashrate war and for this they rented power from Bitcoin miners. For any product you have to pay, and therefore both teams massively merged Bitcoins and their own cryptocurrencies.
- The second version is based on the fact that the cost level in 6000 $ was critical for miners and when the price went down, most of them began to work at a loss and simply turned off their equipment. As a result, the bitcoin hashrate sank sharply to the level of this summer, which further aggravated the general panic in the market.
- And the last third version, which in our editorial opinion is the main reason for the fall of Bitcoin, is a planned sale in order to set new ones with a minimum. That is, we have a banal market manipulation. And who needs it and why, now let's try to figure it out.
Bitcoin and conspiracy theories
It all started a year ago, when the US stock exchanges CBOE and CME opened a trade with Bitcoin futures and thus launched it to the moon called 20 thousand dollars. And then few people listened to the voice of a minority that the beginning of the futures trading will bring Bitcoin many troubles.
When Bitcoin fell by a third on New Year's holidays, everyone decided that it was just a correction. Then there was a version that the market continues to fall due to the Chinese New Year, they say, people just spend cryptocurrencies on gifts. And then the market continued to fall and new excuses about what was happening constantly appeared, and it was so until we were where we are now ... If we omit the profanity, then at around $ 3500.
Who pressed all this time on the market? Are they whales, bankers or a mysterious cartel? Call them what you want, but after the opening of trading in Bitcoin futures, big business holders got a great tool for ruining private investors. They simply buy Bitcoin on the over-the-counter market, which according to rumors exceeds cryptobirds trading volumes. Then they open contracts for futures and bet on a decrease in value, and by the time they close they start selling cryptocurrency on the exchanges in order to provoke a fall in prices to the desired level.
This scheme is both simple and ingenious. Thus, large capital, for simplicity, we will call them bankers, accumulate cryptocurrency in themselves and at the same time earn money on a falling market.
When to wait for the native land
If our theory is correct and not ordinary bears feast on the market all year long, but giant grizzly bankers in expensive suits, then one should not expect a bitcoin reversal in the near future. Just as you should not give in to panic, for any banker, the main goal is to increase capital and it is not in their interest to destroy cryptocurrency.
Today the crypto market is not regulated, in contrast to the same stock market, where for such manipulations with rates you can quickly get a criminal sentence with confiscation and a ban on working in the financial sector. Therefore, by pushing bitcoin to the maximum, it will be given and even helped to seriously increase in price, at least in order to continue earning. And such a swing will continue until this loophole closes and, as the last G2020 summit showed, the rules of the “wild west” in the crypto market will remain at least until XNUMX. To which the emergence of international legislation is assigned.
Until then, regulators and states will continue to catch the ICO, interfere with the work of decentralized exchanges and warn about the risks of investing in cryptocurrency. And all this time they will not in any way interfere with bankers to get rich, perhaps because they are banal in share or are in their salary, but that is another story.
Presumably, and this is nothing more than a hypothesis, next year Bitcoin will be given a new price record, having risen above 20 thousand dollars, in order to thus attract new investors to the market from clients of the banks themselves. It is not known exactly when it will be, but today almost all the juice has been squeezed out of crypto-investors, and in order to continue earning, bankers will force everyone they can into this market. The market needs fresh blood ...