One reason crypto prices can drop so drastically is because of the uncertainty and confusion on how the government plans to regulate cryptocurrencies.
Prices can drop 10% in the blink of an eye if a government official has a negative comment.
Fortunately, there could be more clarity about the U.S. market after June 13.
June 13 Is the Next Important Day for the Cryptocurrency MarketOn June 13, the SEC will hold an investor conference in Atlanta at GeorgiaState University.
It will be a town hall event, where attendants can meet with members of the SEC for informal discussions on fintech and cryptocurrencies, according to CCN.com.
While the SEC seems to be most interested in regulating ICOs right now, clarification on all cryptocurrency regulation plans could help bring in new investors too scared to invest.
With more demand, prices can start to go back up.In other cryptocurrency news, the price of Bitcoin rebounded after nearly falling below $7,000 over the Memorial Day weekend. After several weeks of bearish trends – including concerns about a sell-off by a Mt. Gox trustee and concerns regarding tax policies at Bitfinex – Bitcoin appears to be coming off a near-term bottom.
However, cryptocurrency analyst Willy Woo said on May 25 that Bitcoin will test $5,700 before recovering.
Here is a recap of the top five cryptocurrencieby market cap as of 3:00 p.m. EDT.
