From the look of things, it appears that the tribulations that befell the world’s largest Cryptocurrency, Bitcoin, towards the end of the year aren’t yet over. During a mid-day trading on the 7th of March 2018, the price of this virtual currency dropped by over $1,000.
Planned & Synchronized Move to Drop the Price of Bitcoin?
The price of Bitcoin declined by over a thousand dollars as more speculation continues to emerge about the possible cause. It first began with the reports from the Japanese regulators, who had earlier indicated that they were planning to crackdown several exchange platforms for the digital coin. This, they would do by releasing out a myriad of what they termed as administrative punishment notices, and even going as far as suspending a number of exchanges from the trade. In the mix of all that, one of the major exchange platforms, Binance had its account hacked, as another account belonging to Bitmex was brought down.
It is imperative to note that all these exchanges that were once very successful in this industry witnessed some of the largest sales volumes in their course of business. With all these indicators in place, all clues lead to a well-choreographed plan of dropping the price of Bitcoin. In just twenty minutes, Bitfinex Exchange fell by almost 12,000 Bitcoins.
The Current Bitcoin Price
Bitcoin started its Wednesday, 7th March 2018 trading at $10,709.53. Hours later, that price would come down to a low of $9,494.45, which shows a drop of more than $1,200 given the price it had begun the day with. Traders and other market analysists were quick to note the price drop, given the fact that the price of this virtual coin had earlier surged to over $10,800. At the time this article was written, the price of Bitcoin had indicated some recovery steps from the low, and went back to trade above $10k.
The drop below $10k came after consistent drops that had been witnessed in the last 20 hours. Even though the level went higher within the last few hours of that day’s trading, the drop was long anticipated.
“Coincidental” Price Drops
Even though the factors that might have fueled this kind of sell-off haven’t been determined, the timing leaves a lot of questions unanswered. First of all, it “coincidentally” happened at the time there were reports of illegal sales at one of the leading virtual currency exchanges, Binance. This led to the operations of this exchanges brought to a halt. It can be remembered that this crisis just came a month barely after the organization upgraded its systems; a move that all brought in fears of a possible hack.
At the same time, BitMEX, another virtual currency derivatives exchange also had its share of tribulations. It made an announcement that a portion of its customers encountered difficulties as they attempted to log in to the platform. The problem was later solved, and BitMEX is currently online.
Apart from Monero, the other leading virtual currencies have had their prices drop by over 10% just within the last 24 hours.