Why crypto is down – Bitcoin Latinum

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Why is crypto down? This is a question that many people ask themselves regularly to better understand the market. So why ? Why did this happen? I’m not sure if anyone knows the exact reason for this debacle, but here are some speculative reasons that could have led to it:

Recent news from China is banning not only ICOs, but all exchanges that affect them. This has worried people for the welfare of coin exchanges and reflects their belief that regulating the exchanges will hurt future market growth, as potential investors will continue to view them as unregulated financial vehicles. If these fears persist, the market could continue to suffer.

Japan is also considering new regulations that would prevent their exchanges from executing crypto-to-fiat options. This, again, could be more of a blow to future market growth if this regulation can be passed. However, that is not likely because the bill still has several months to go before it goes into effect and will need the approval of other committees to even be considered for voting by their full congress.

Popular exchange Bittrex recently disabled new user accounts due to too much traffic overload. Even though they are reactivating registrations today, there was some panic when they announced that account creation was deactivated. It wasn’t something unique or directly tied to a coin, but simply reflected the growing number of people involved in why crypto is down.

The SEC’s recent ruling on ICOs being securities instead of commodities has affected the market by causing a statewide reversal where every coin has seen a steep decline. When the overall market capitalization exceeded $ 100 billion, this regulatory move would not cause as much fear or uncertainty, but now that it has fallen to around $ 70 billion, there is concern. Even though this article says otherwise, I think the markets still panic about it even after the initial hit. If you read all of these articles and reviews, you’ll see that a lot of people are still not happy with how the SEC handled their decision.

Another interesting point is the timing. What most people don’t realize is that this market downturn has been happening since Friday, right after the SEC issued its ruling. Since then, there have been continued attempts to manipulate the market with low volume sales followed by massive buyouts. We may never know the real intentions behind these actions, but it seems likely that they are aimed at increasing volatility and fear for the benefit of someone or a group.

The last possible explanation for all of this could be simply an overreaction on the part of investors / traders who are now afraid of what the regulations will do to their future investments. This was probably triggered by things like China’s ban on ICOs, which sparked another wave of investors thinking “China banned them – the US might too, I have to sell now!” These actions were likely amplified by robots and high frequency traders who also realized that the market was overreacting and decided to attempt their form of manipulation. That said, it’s important to understand why crypto is still in its infancy. All of these things are normal, growing pains. While there will be bumps in the road, crypto has a bright future ahead of it if we don’t give it up. Technology will continue to improve over time and none of these minor setbacks mean decentralized currency is dead or dying; only the transition to new hands. So watch out for manipulation attempts – you can never know why someone is trying to ruin your profits anyway.

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