The cryptocurrency market is currently in turmoil as the value of numerous coins have suddenly dropped dramatically. Ethereum, Ripple and Bitcoin Cash have all lost a tenth of their value in less than an hour, much to the dismay of many. These drops are dramatic and so far unexplained.
This morning, in the space of an hour, the price of Bitcoin dropped more than $300, and this is after a week of steady gains, where some people thought things were looking up for Bitcoin. Following this drop, Ethereum, Ripple and Bitcoin cash all followed.
As stated previously, there is no obvious reason as to why these sudden drops would have come about. Although experts in the field are still looking into this event, some analysts suggest that a contributing factor to the fall could be simply the panic selling of cryptocurrencies.
Although most coins were hit hard, those that took most of the fall were Ripple, Ethereum, Bitcoin Cash and EOS, each of which dropped by around 10%, and Bitcoin by around 4%.
It is for this reason that some analysts have warned that many cryptocurrency investors should not see the growth of certain coins as things to come, as it is likely that these gains could only be short term. Today’s price drop is evidence of this. The price of Bitcoin in particular has been yo-yoing for several months now, and traders are advised to remain cautious.
There are plenty of things to be positive about in the cryptocurrency work, with lots of news coming though about the development of the cryptocurrency industry. It will just take a while for these updates to have an impact on the overall price of the coins.