Drop in Crypto Currency Nowadays
Drop in Crypto Currency is now not a new trend, it is not sudden. This drop in Crypto Currency started Four months ago. When we talk about crypto currency then one base coin come into our mind, that is Bitcoin. The price of Bitcoin was $19000 plus on the day of 17th December, 2017. That was the day when the bitcoin went to its peak. Most of the analysts were thinking that bitcoin will touch $30000 per bitcoin in the year of 2018. It seems to be true. The demand of Bitcoin increased rapidly. People were buying it too much, but most of the investor didn’t know the market situation. They don’t even know the basics of Crypto Currency. They were unable to analyze the market and blindly buying caused that much hike.
Before buying anything either in crypto market or in any other market, the analysis is very much necessary. If you don’t know about market basics, it is necessary to learn it first. The basics of Forex trading will also help. The rule of demand and supply is too much important. The base of buying and the value of base currency or base commodity is very much important. People just kept buying because they see other people are buying and the price is going up and up. That was artificial demand that cause the drop in Crypto Currency. The role of Crypto Currency miners are also important.
As a technical analyst. I saw the market and suggested some people who were keen to buy the bitcoin. I suggested them to buy in depth and then they will be able to get the benefit. They followed me and made profits. This is the benefit of technical analysis. When traders are going to trade on the longer term, they should follow technical analysis. When traders are going to trader on shorter term then they should see fundamental analysis. However, both the analysis works on short and longer term, but I prefer the method as I have described above.
Market level and Drop in Crypto Currency
When the market reach to its higher level, it was suppose to fall. Why this fall happened? this is because the buyers at lower level started profit making. They started selling on massive level. We saw news that China has taken all of his money out from crypto market, but this is not true. China is not the only player of crypto market. People around the world bought and sold the bitcoin. Since, bitcoin is the base currency of crypto currency world, it falls then it impacts on other alt coins too.
The market fall because of profit taking, after a certain level, bitcoin bounce back. Why this happened? If you are a trader then you will understand this. This happened because of buying orders of traders on support level. Due to massive buying, market bounce back and then we saw again bitcoin on $10k level. It was the time when I also thought that chance of drop in Crypto currency is no more. At that time other traders and fellows thought the same. But that was correction of bearish trend.
The recent trend of Crypto Currency Market
Right now, market is in bearish trend. Not only Bitcoin but also other alt coins, like Lite coin, Ethereum, Monero, ripple etc. Besides ripple CEO meeting with money express and other big brands, we see fall in its price. That all because of fall of bitcoin. This drop in Crypto Currency effected all the coins. The whole market is shaken condition and it will reinstate its status very soon. This market is for those who can afford loss. The person who can hold the position for longer time or can store bitcoins in paper wallet can sustain.
Why I am saying this? Because Crypto Currency is a Dawn of a new economy. It is not my own saying, most of the analyst of market are saying this. Most of the countries are now thinking about their own crypto currency in shape of coins. Some countries have already implemented this. There are some Bitcoin ATM installed in several countries and some countries are installing alt coins ATM too. The use of the ATM is easy. If you have bitcoin, you can use them anywhere in the world. This is the power of bitcoin.