The total market value of Bitcoin currency has been falling since the beginning of this month, and it has fallen below $200 billion in recent days. Compared with the record high of $832 billion in January, it has shrunk by nearly 80%. In response, according to foreign media reports, the already-bankrupt Japanese Bitcoin exchange 'MT.GOX' was forced to pay a Bitcoin with a market price of 1 billion US dollars (Taiwan’s 30.76 billion yuan). The heavy selling pressure may cause the market to collapse.
The Bitcoin market exploded in 2017, rising from less than $1,000. Even at the end of last year, it challenged the $20,000 mark. The total market value of Bitcoin hit an all-time high of $832 billion in January. The Bitcoin market continued to swell and then plunged and fell below $200 billion in early September, the Bitcoin price today shrinking by as much as 76%.
According to the ‘Telegraph’, the bankrupt MT.GOX was determined by the Japanese court to pay a Bitcoin of the market price of 1 billion US dollars, which will lead to heavy selling pressure and crush the already challenging and fragile Bitcoin market.
MT.GOX was invaded by Russian hackers and suffered huge losses. Then it filed for bankruptcy. Kim Nilsson put pressure on MT.GOX in the past 4 years and asked to get back his shares in MT.GOX which would have caused this market collapse completely.’ According to the judgment, MT.GOX will pay the customers 160,000 Bitcoins at the current price, and the lossy investment customers can claim before October 22, which may lead to a sell-off of the Bitcoin price of $1 billion.
Regulation is also considered to be an important reason for the cryptocurrency market to enter a downward trend.
All this time, the cryptocurrency circle has been questioned in the cloak of the blockchain, the issue of altcoin, pyramid money, illegal fund-raising, there is a lot of bubbles. Yu Jianing, the president of the University of Fire and Money, and the former director of the Industrial Economic Research Institute of the Ministry of Industry and Information Technology, told the Times Weekly that the current blockchain technology is not yet mature, and the market expectation is relatively high, which will promote the bubble to a certain extent.
‘The real outbreak period of the blockchain industry has not yet arrived. It can be understood as a bubble period, but it is currently in the stage of squeezing water and squeezing bubbles.’ Experts believe that nowadays national regulation is entering the market to avoid further expansion of the bubble and containment. And reduce the overall risk of the blockchain industry and the currency circle.