Cryptocurrencies fall: what stands behind?

Top 100 cryptocurrency are demonstrating the deep dump; let's try to figure out, why
02 February 2018   2479

The first cryptocurrency continues one of the deepest price falls in its history. Today, on February 2, the average bitcoin rate fell below $ 8500, which corresponds to the values of the end of November last year.

Bitcoin Price Chart
Bitcoin Price Chart

The current capitalization of "digital gold" is $ 141 billion. The dominance index is also relatively low - 35.9%.

In just a month, the total market capitalization of the cryptocurrency decreased by half. So, if in early January 2018 the total value of the digital assets on the market reached $ 800 billion, now it is $ 395.4 billion.

Almost all the cryptocurrencies from the first hundred of the Coinmarketcap rating show a deep dump.

Top Ten Cryptocurrencies
Top Ten Cryptocurrencies

Among the reasons for the fall can note the tightening of regulation in India and South Korea, as well as the multi-million dollar loss of the Coincheck exchange hack and, as a consequence, the increased likelihood of tightening regulation of the crypto industry in Japan. The CFTC has begun to scrutinize the activities of the large Bitfinex exchange and Tether.

SEC to Start VanEck-SolidX BTC-ETF Consideration

Starting today, the 45-day countdown to the SEC initial decision was launched
20 February 2019   87

For the first time since August of last year, two proposals on the creation of a Bitcoin-ETF are under consideration by the US Securities and Exchange Commission (SEC).

The application of VanEck and SolidX, issued in cooperation with the Cboe BZX exchange, as expected, was included in the Federal Register issue this Wednesday, with which the 45-day countdown to the SEC initial decision was launched. The application of Bitwise Asset Management and NYSE Arca was published last week.

I … hope that our investment in regulatory and market education, hard work and commitment will be honored when the time comes.

Gabor Gurbacs

Director of digital asset strategy, VanEck

The head of Bitwise’s research department, Matt Hogan, believes that not only firms that have submitted bids to create Bitcoin-ETFs are looking for approvals, but and the entire “extremely fast-growing” crypto industry.

A year ago there was maybe one qualified crypto custodian … and now there are half-a-dozen, and that number will go up from here. A little more than year ago, we didn’t have futures. A year ago we didn’t have nearly as many firms making markets. A few months ago, you didn’t have folks like Fidelity announced in the space. It’s evolving really, really quickly.

Matt Hougan

Global head of research, Bitwise

 As reported, ultimately, however, a bitcoin ETF approval will depend on how companies approach their proposals.