I am a strong believer of cryptocurrency. Finally, its recovering from all the bad news in the market for last one month. All related to regulations and hacking. Many of you may not be knowing whats wrong with cryptocurrency which leading to crash. Here i have listed the major reasons for major crash in january and February 2018.

Cryptocurrency prices are largely driven by news events.

Let's talk about some bad news which recently resulted in a huge price drop in the value of Bitcoin and other altcoins in February.

1. Indian Finance Minister, Arun Jaitley, restricting the legal use of cryptocurrency.
2. Facebook banned the ads for Cryptocurrency and ICOs.
3. JPMorgan Chase & Co., Bank of America Corp AND Citigroup Inc also halted the purchases of Bitcoin and other cryptocurrencies on their credit cards.
4. UK’s largest bank Lloyds Bank announced that they will not allow cryptocurrency purchase through credit card issued by them.
5. Discover credit card has banned purchasing Cryptocurrency. Some cryptocurrency-backed debit cards dropped from Visa network. MasterCard removes cryptocurrency Debit Card availability outside European Economic Area (EEA).
6. U.S. Securities and Exchange Commission who freezes the assets of a Texas-based initial coin offering that claimed to have raised more than $600 million.
7. Japanese Cryptocurrency Exchange CoinCheck also get Hacked and $530 Million NEM got stolen.
8. The U.S. derivatives regulator recently said that they will hold two meetings to discuss the procedure and operational controls for listing and trading digital currency futures.
9. South Korea and China are making it tough to gain from cryptocurrency trading.
10. China has banned Cryptocurrency-related advertisements from Chinese websites. Chinese search engine Baidu and social media platform Weibo already stopped showing cryptocurrency and ICO ads.
11. China has already banned the domestic cryptocurrency exchanges and ICO in September 2017 but they now banned any purchase by Chinese people with foreign cryptocurrency exchanges as well from February 2018. They are trying to reduce the financial risk as per government's statement. China will step up measures to remove any onshore or offshore platforms related to virtual currency trading or ICOs.

All these bad news was making a negative impact on cryptocurrency prices. People started selling their digital assets to secure themselves from the big loss. As price is largely driven by faith and fear, so it's falling continuously with continuous bad news one after another.