As you have probably noticed the Crypto Markets have been going down as of late, not just a little bit but a significant amount. Popular coins like Bitcoin and Ethereum have lost a lot of their value. Yet there don't seem to be very many explanations as to what we are seeing, so I have decided to create a short list of what has been going on.
Someone or some organization sold off a HUGE supply of Ethereum, some lucky traders were able to purchase the coins for .10 each. But it seems like the majority of the coins went to specific people. This caused a lot of people to question the legitimacy of the currency and their markets, when we can see an extreme fluctuation within a day. A lot of people got scared and sold off their stash. More info: http://www.cnbc.com/2017/06/22/ethereum-price-crash-10-cents-gdax-exchange-after-multimillion-dollar-trade.html. A week or so later the price of Ethereum along with other currencies then slowly started to increase in value until around July 5th... When everything crashed even harder.
Alpha Bay a popular site on the dark/deep web went down on the 5th. Alpha Bay is a site where you can buy goods and services online whether they be legal or not. A lot of people who were using the site stored a large amount of their Crypto Currencies in it with the idea being to trade it on the site in the future. When the site went down a lot of people lost their money, which caused a massive drop in the markets. It is unfortunate that Cryptos are used for illicit activity but I suppose that is part of the nature of having an anonymous currency.
Right now we are looking at a market place that is very shaky as a lot of people have decided to sell off their stores of Cryptos even at a loss. Meanwhile in my opinion it looks like there is an effort to actually drop the value of coins across the board while larger whales are buying up large sums of cheap coins.
Now think about that for a second. If whales are buying up coins as much as possible then is the sky really falling? Or do the whales know something most people do not? While the news of late tends to be bad, this is NOT the only news available I found several articles about how Cryptocurrency is becoming more legitimate worldwide, but for now we will take a look at Japan as it has legitimized Cryptocurrency. Japan will soon have hundreds of thousands of stores that accept Bitcoin, you can just straight up buy stuff across the country now with your Cryptocurrencies (https://news.bitcoin.com/bitcoin-accepted-260000-stores-summer/). More Good news from Japan is that Bic Camera a popular electronics store in Japan has started accepting Bitcoin at everyone of its stores. This would be almost the equivalent of Best Buy or other electronic chain taking Bitcoin in the US and Europe (https://petapixel.com/2017/07/12/one-japans-largest-camera-stores-now-accepts-bitcoin-shops/).
I won't tell you a lie, this crash has been bad. A lot of people have lost a lot of money, myself included. But I am not worried, you have to remember you only take a loss when you sell and crashes even like this one have happened before. This is a great time to pick up some cheap coins as barring anymore terrible news should start to go back up. Ethereum is a great example. Its been out only 2 years but in that time it got close to taking over Bitcoin which has been around for 8 years. With all the enhancements Ethereum has over Bitcoin do you really think it will be less than it forever? From my research and with other countries starting to jump on board the Crypto band wagon and jump off of fiat currency, it seems likely that the prices of the top coins WILL GO BACK UP and even SURPASS their All Time Highs! How long that will take depends, it could be months, perhaps even a year or 2. But now is a great time to watch your favorite coins and buy them cheap or plan to buy them when you see the market start recovering (an safer bet).
In short things are bad, but they will go back up when given time. I myself am holding all my coins. And I honestly think you should consider doing the same.
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