Crypto's 80% Fall to Exceed Dot-Com Crash Already

Bloomberg's journalist Michael Patterson says that overall cryptocurrency fall of 2018 had already exceeded the well known dotcom crash of 2000s
12 September 2018   213

"The Great Crypto Crash of 2018," as Michael Patterson, the Bloomberg columnist, calls it, has already beaten the anti-record of the dotcom market at the beginning of the new millennium. Such a comparison was made on the basis of the Nasdaq composite index, according to which the drop in the dotcom market in 2000 from the peak to the lowest was 78%.

At the same time, MVIS CryptoCompare Digital Assets 10 data from Nasdaq, which tracks the results of the ten largest and most liquid crypts, on Wednesday, September 12, showed that the digital assets market has fallen by 80% since January.

The Great Crypto Crash of 2018
The Great Crypto Crash of 2018

According to Michael Patterson, like their predecessors during the boom of shares of Internet companies almost two decades ago, today's investors who decided to bet on revolutionary technology are experiencing a painful return to the ground.

As the analyst notes, the cryptocurrency mania of 2017, fueled by hopes that bitcoin will become "digital gold," and the tokens created on the blockchain that transform virtually all industries - from finance to the food industry - quickly gave way to concerns about too much excitement, security, market manipulation , the need for more brutal regulation of the industry and its too slow adoption on Wall Street.

He also says that the cryptocurrency bulls do not attach importance to negative comparisons with the dot-com era, pointing to the recovery and rise to new heights of the Nasdaq index, to the enormous influence that the Internet has had on society, and also recalling that bitcoin, after previous similar falls, .

Nevertheless, Patterson writes, even if the optimists eventually turn out to be right and the cryptocurrency will change the world, this year's events show that this process will not be smooth and even.

As of 10:00 UTC Wednesday, September 12, the aggregate market capitalization of the cryptocurrencies was $ 187.4 billion, which is the lowest in 2018. The vast majority of altcoins are in the deep red zone, having lost in value in the last day from 3 to 13 percent.

Top 20 Cryptocurrenies
Top 20 Cryptocurrenies

Bitcoin currently trades around $ 6264 (-1.4%), the average rate of Ethereum dropped to $ 174.47 (-10.29%). In the Top-20 CoinMarketCap, Dogecoin still stands alone: ​​over the past 24 hours, this cryptocurrency has grown by 2.62% (+ 24.36% per week) and, having surpassed Nem, Tezos and VeChain by market capitalization, has already risen to 17th place .

SEC to Need More Info on BTC ETF

SEC is gathering more input from the public – to date, according to the agency, more than 1,400 comments have been submitted
21 September 2018   158

The US Securities and Exchange Commission (SEC) announced the beginning of a formal process for considering the application for the creation of bitcoin-ETF from the New York companies VanEck and SolidX. Nevertheless, the agency appealed to the community for more information. This is stated in the document published on the SEC website.

Institution of such proceedings is appropriate at this time in view of the legal and policy issues raised by the proposed rule change. Institution of proceedings does not indicate that the Commission has reached any conclusions with respect to any of the issues involved. Rather, as described below, the Commission seeks and encourages interested persons to provide comments on the proposed rule change.
 

The US Securities and Exchange Commission

At the moment, the SEC received about 1,400 comments.

According to the document, the Chicago Board Options Exchange (CBOE) has signed an agreement on the exchange of data on bitcoin transactions, trading and the state of the market with the cryptocurrency trading platform with Gemini.

The agency asked commentators to clarify the position of Gemini in the digital currency market and assess the likelihood of increased volatility at this site in connection with possible trades of bitcoin-ETF.

So, before September 30, the department had to decide on whether to approve, deny or initiate the proceedings. The SEC chose the latter, which is likely to delay the process until the next year.