Crypto market drops sharply, Bitcoin under 6000 dollars
It has been relatively quiet for a while around the crypto market and again seemed to be heading in the right direction after the Bitcoin last month again exceeded the $ 8,000 came from, but the market has bunged after the US watchdog SEC postponed the decision to approve a so-called ETF (Exchange Traded Fund) linked to the price of the Bitcoin. That is important, because such an ETF makes it possible for ordinary investors to trade ‘with’ cryptocurrency without having to buy Bitcoins themselves.
However, the watchdog does not think it is right now to link the unpredictable Bitcoin to the ‘normal’ investment world. There is a lot of interest in these financial products, but the watchdog is (probably rightly) afraid of all kinds of unclear situations. There is already a lot of market manipulation when it comes to cryptocurrency and if the regular stock exchanges end up there, the chance of a new crash is present.
Just cash
So the market did not do any good, and in the past 24 hours things went wrong. Apparently it has to do with the fact that a number of start-ups that have held the controversial ICOs and thus received a lot of Ethereum have sold the same Ethereum now to have real money for investments in their company. This has started a kind of chain reaction of sales with the result that almost all cryptocurrency has fallen on average by ten percent. That has also reduced the Bitcoin to 6000 dollars, a not unimportant point .
Chances are that there will be a wave of sales coming, because people in the emerging markets are a little anxious after the sharp decline of the Turkish lira and it seems that the mix of cryptocurrency with the ordinary market is kept at a distance. What will happen to the crypto market remains uncertain, as always, but in this case it is not favorable for the prices.