The crypto market has been painted red since the weekend behind us – and the recovery looks set to come. While the Bitcoin currency is rising and falling (at the beginning of the day it remained stable, later dipped below $ 30,000, and has now returned to its price at the beginning of the day), the entire market is down 12%, according to CoinBase.
The Dogecoin fell to just 19 cents – a 38% drop in a week. The currency, which started as a zero-value network joke but managed to gain momentum thanks in part to Tesla founder Alon Musk’s tweets about it, has already lost more than 70 percent since its record high last April – 70 cents. Last month a short tweet from Musk (“How much is the doge in the window worth?”) Soared the doge coin by nearly 50%.
The negative momentum in the market began with the tightening of restrictions on digital currency activity by the Chinese government, where most of the coin miners are located. Over the weekend it was decided to halt power supply to China’s coin miners, and yesterday the Central Bank of China announced that it had summoned banks and mobile payment companies, including China Bank for Industry and Commerce, China Bank for Agriculture, China Bank for Building, Mail Savings Bank. Stop any bitcoin activity that goes through them.
Bitcoin is falling again
Bitcoin traded at $ 32,000 per unit in the morning, about half of the record set last April – about $ 65,000. This is a decrease of close to 20% within a week. Later in the day it crashed below $ 30,000, and has now returned to $ 32,000.
Etherium also dived below the $ 2,000 mark for the first time in the past month, and is now trading at just over $ 1,900. In doing so, the currency completes a decline of more than 30% per week. The ripple, which recently crossed the dollar threshold for the currency, has retreated significantly and its price stands at only about 57 cents per unit.
Sagi Bakshi, CEO of the fintech company Coinmama, actually welcomes the migration of miners out of China, and explains: “Until today, there was a fear of concentrating miners in China as something that endangers Bitcoin, immigration reduces China’s relative share of global mining power. The miners will seek to move to Western countries, with clear regulation to avoid further migration involving economic damage. This move is good for Bitcoin. “
Eli Bejarano, CEO of Bit2C, added: “China is openly and forcefully against Bitcoin. Just like all previous times, the Chinese are not knocking an account and using force to lower the price and buy cheap quantities again, something that worked for them in the past, and Alon Musk Another hypothesis is that China’s leadership believes that Bitcoin will interfere with the Coptographic Yuan (DBCD) – the currency of China’s central bank that already operates as a pilot in five provinces in China. The carbon she set for herself. “