Bitcoin price tanked again and the coin isn’t in a position to face tough market dynamics: Investors confidence in cryptocurrencies has seemed to fade away in light of the bevy of negative opinions from market forces of late. Followed by a steady decline in the last two weeks, BTC price fumbled at a double-digit rate on Wednesday and extended the downtrend today – the Google advertisement ban is continuing to jolt the cryptocurrency market.
Bitcoin price dipped below the $8,000 level early today; the latest selloff has pulled back the largest coins price to the lowest level since February 7. The rest of the top ten cryptocurrencies, including Ethereum (ETH), Ripple (XRP), and NEO (NEO), are declining at a robust pace.
Bitcoin Price Tanked. Is $5,000 level Plausible?
Though Google’s decision to ban cryptocurrency-related-ads impacted trade sentiments, several other factors are contributing to the latest crash – lower trading volumes, SEC registration, and the Chinese crackdown on international cryptocurrency trading.
China plans to ban all sorts of cryptocurrency trading platforms from their country after prohibiting domestic exchanges at the beginning of this year. China has set the zero-tolerance policy for tax evasion and money laundering, and they believe cryptocurrencies are the most significant tool for illegal transfer of wealth.
Regulators from U.S., Japan, and South Korea have broadened crackdown on crypto markets; the regulators are closely inspecting ICO’s, price manipulation activities and asking for the registration certificate to work under the policy guidance of SEC.
Goldman Sachs sent a warning note to its clients that Bitcoin price is expected to dip below its early February lows.
“The break is significant as implies [sic] potential for a more impulsive decline,” Jafari stated. Her team warned investors to “keep an eye on BTC price.”
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