Bitcoin price fell to its lowest level since October 13 on Tuesday night, according to data from sources, a news site specializing in cryptocurrencies. There doesn’t appear to be a single factor triggering the cryptocurrency crash this week, but instead is driven by several factors ranging from “increased selling pressure, year-end arbitrage, speculation.”
Bitcoin price fell to its lowest level since October 13 on Tuesday night, according to data from sources, a news site specializing in cryptocurrencies. Bitcoin’s value fell to $55,460.96 last night, according to the website, another 20% drop from its previous all-time high of $69,000 reached in November. However, according to a digital currency analyst cited by Forbes, the factor driving the cryptocurrency crash this week does not appear to include speculation.”
Cryptocurrency Market Still Red
According to data from cryptocurrency exchange WazirX, the digital currency market is currently in the red, where all the big currencies like Bitcoin, Ethereum, Solana, and Binance are struggling with falling prices. Ethereum fell 0.86% to $4,167, and Solana also fell 1.24% to $4,167. The so-called “Memecoins” (Doge and SHIB) have increased their value if not much. Cryptocurrency exchanges set growth rates of 0.30% and 1.64%, respectively.
Possible Causes of bitcoin Crashes
According to John Iadeluca, founder of multi-strategy fund Banz Capital, Bitcoin’s move in a very old portfolio has sparked rumors and concerns among investors and sparked a possible decline in the market price. According to Forbes, Iadeluca said, “Observers are trying to figure out what the Bitcoin movement in older wallets means and if this represents a massive Bitcoin sale in these wallets soon.”
Investors are also reasonably fearful of Japan-based bitcoin exchange Mt Gox. The exchange, which was once called the world’s largest Bitcoin broker and handles more than 70% of all trades in the world, was shut down in 2014 and ceased trading. 850,000 customer and corporate bitcoins were “lost” and stolen worth more than $450 million at the time.
The bankruptcy protection program (the so-called “citizen rehabilitation plan”), which promised billions of dollars in compensation in Bitcoin, was accepted by about 99% of creditors on exchanges that don’t exist as of last month. However, concerns remain high. If creditors who currently receive more than 140,000 bitcoins sell their holdings, of course, the bitcoin price will be under pressure and depreciate.