Aug 15, 2018 at 08:01
Aug 15, 2018 at 08:01 UTC
The Recent Dip in The Crypto Market Seems To Be Going On Forever
BTC Wires: After the stupendous high of 2017, the crypto industry started seeing a dip in early 2018 and it seems to be going on forever, dragging on for a period of almost eight months with just a few exciting price rallies like in early August. While the year has been mostly bearish, but industry insiders hoped that would change when the prices rose earlier this month. The crypto markets, however, failed to sustain the momentum and slid back again, with several of the top 10 altcoins and others plummeting to all-time low levels. Bitcoin has managed to hold on to a $6000+ price level only very tenuously and we cannot assume that this can signal any turnaround for the sluggish market. Investors and crypto enthusiasts are baffled in trying to understand the state of the market, which is witnessing a continued slump despite already having crossed over 90% in losses.
There might be several reasons for the slump, one of the key ones being the continued lack of clear regulations from the side of regulatory bodies like the SEC. Although a few of the governments around the world have rolled out the red carpet for the crypto industry, most have remained sceptical of the digital currency market.
In addition, with rising hash rates, miners are seeing more and more competitors flooding the mining scene with greater ease and lower costs. As a result, this has brought down miner profitability and had an impact on the industry as a whole.
Besides, it seems that the craze has died down with regard to cryptocurrency, and the retail interest has taken a major hit. As a result, people are no longer queueing up to buy them, affecting overall prices.
The volatility of the market is also rather high, which naturally means that a bearish market will continue to fall until it hits rock bottom through a chain effect of sorts, with a prophecy of doom being realized. The limited adoption of crypto, despite its immense potential, has coupled with lack of regulatory approval to cause a volatility that has come to spell doom for the industry.
It is clear that the fall has been going on for rather long and it remains to be seen when the market will finally come out of its slump.