Why is the Bitcoin Price and Cryptocurrency Markets Shedding Gains?
Here we present before you the current market situation of cryptocurrency. Read on for more information. Get the picture clear.
Crypto Market Today
The current situation in the crypto market is somewhat tricky as the bitcoin boom has shed its gains and the market is slowing down. This is why we take a look into the cryptocurrency market from an eagle’s eye view. Here is the biggest and brightest crypto coin facing current depression as the whole market is in friction with investors.
Crossing the $ 11,000 mark as bitcoin’s price reversed trajectory the price of a single bitcoin was $ 10,909.23 which is a decline of 2.98% as it was trading later at $ 10,770.80. with no clear triggers for the fall in bitcoin’s price, there were other cryptocurrencies following bitcoin’s lead as also were in the red where trading volumes fell as bitcoin’s rose to account around 40% of all the cryptocurrency trading across various exchanges.
A cryptocurrency with low transaction fees, the Bitcoin Cash were briefly surpassed by bitcoin was the biggest loser, and trading at $ 1,404.95 with a decline of 8.06%. another loser was Litecoin as its price surged by almost 14% as after the crypto’s blockchain underwent a hard fork as Litecoin’s price has shed all of the gains with the price of a single Litecoin is $ 221.98 which is the decline of 9.32% from its price whereas the overall market capitalization for cryptocurrencies is $ 475.3 billion as the figure is a decline of 7%. Therefore, here we take a brief look at some developments that may affect or have affected bitcoin’s price.
How Is Coinbase And Bitfinex Implementing Segwit?
Announcing that they have implemented SegWit for transactions are the two major cryptocurrency exchanges where North America’s largest cryptocurrency exchange Coinbase tweeted that it would begin rolling out SegWit adding that customers will have access to SegWit transactions
Implementing this feature is also Bitfinex the world’s 4th largest exchange by trading volume and as Paolo ArdoinoBitfinex CTO who is by supporting SegWit addresses where Bitfinex is tacking three of the most and biggest crypto-enthusiast concerns: including the transaction fees, transaction speed, and the total network capacity.
By increasing block size, SegWit speeds up transaction speeds and decongests bitcoin’s network and in turn, is expected to lower the transaction fees helping bitcoin gain traction while Ardoino says implementation of SegWit results in transaction fees as much as 20 percent.
The Current Regulation News
Coming together to form a new self-regulatory organization after the recent Coincheck hack, Japanese cryptocurrency exchanges were members of the Japanese Blockchain Association as well as the Japan Cryptocurrency Business Association setting their rules and were not overseen by the Financial Services Authority responsible for overall regulation within the industry. Hereby members of the new body will only admit exchanges approved by the FSA.
The US state of Wyoming has meanwhile approved two bills encouraging blockchain and cryptocurrency businesses in the state where the Israeli Tax Authority released a circular stating that cryptocurrencies will be treated as property for taxation purposes with a similar stance to that of the Internal Revenue Service with a similar definition for coins.
Why Do Dark Pools Happen For Cryptos?
Republic Protocol a Singapore based company according to WSJ report has raised $33.3 million for dark pool trading in cryptocurrencies away from exchanges. The company’s 21-year-old founder Taiyan Zhang claims that the pool will boost cryptocurrency trading volume as also capture $ 9 billion worth of crypto trading monthly as the target is that it should not have a significant effect on cryptocurrency prices. Therefore, it was found that the trading volume for bitcoin itself on a single day is $ 11 billion.
The Concluding Thoughts
As price fluctuations are common in the crypto market, newer coins are surging ahead of the traditional coins like the Bitcoin. Hence it is up to the investor and his diligence to make sure there is one of the best modes of investment with secure money transactions. Heavily coming down on the cryptos is the governmental regulations that are posing to be a threat to the popularity of the cryptocurrencies. It is because of this that many investors keep away from them as the common use for the investment is to proliferate money laundering, drug pedaling, and other fraudulent activities. Here is the reason most of them are being used with necessary cautions. The unaccounted state of Bitcoins helps the investors do any sort of the activities mentioned above. With more news in hand, we are sure to come with the actual picture from the crypto world. Let’s keep the fingers crossed and watch.