June 13: The Big Two of cryptocurrency – Bitcoin and Ethereum – both continue to struggle to turn things around, as they slumped to worryingly low prices. Ether dipped under the $500 mark, while Bitcoin looks certain to soon be at its lowest price of 2018.
Whether people want to try and blame this slump on a South Korean exchange hack, impending US and UK regulations, or get real and accept the more likely scenario that Google, Facebook and Twitter’s ad bans are to blame, the inescapable truth is that the crypto market is sliding downhill fast, like molten lava from an exploding volcano.
By midnight on Tuesday/Wednesday, Ethereum’s value was less than $500 (as low as $488 on Bitfinex) while Bitcoin looked a certainty to be dropping to its lowest price of the year very soon, then probably even lower. BTC is struggling to stay around $6,500, but the writing is on the wall: its seven-day tracking shows a 13% value drop, while Ethereum is down by almost 19%. This is going to get a lot worse before it gets better.
Seven Days Of Hell
In fact, the past seven-day stats make grim reading for all but a handful of the Top-100 ranked cryptos. Worst hit in the Top-Ten is Tron with a 28% valuation drop, followed by EOS (-27.83%), IOTA (-27.79%), Cardano (-25.55%) and Bitcoin Cash, which has fallen by 24.11% in value in the past seven days.
The combined cryptocurrency market cap, pushing toward a trillion dollars in early December, now stands at an unimpressive $282 billion. That’s the combined worth of over 1,600 cryptos, and $112.5 billion of that is Bitcoin. The worse the market gets, the lower the chance of any level of institutional investment. At this rate, even private investors will be avoiding cryptocurrency.
Time To Face Facts And Point Fingers
In early January the combined crypto market was worth around $700 billion, but by the end of January it had dropped $340 billion. Only one major crypto-effecting occurrence happened during that month that could possibly have caused such a catastrophe – Facebook’s decision to ban all cryptocurrency advertising from its platform. Facebook’s decision literally obliterated almost 50% of the cryptocurrency market within three weeks.
Since then the market has tried to recover, but every time a major platform has publicly dismissed the industry – be it Google, Twitter, even Bing, the effect has been devastating. The size of the viewing market that cryptocurrency is now eliminated from is in the billions.
Just as bad is the stigma that an industry with as proven a record of human devastation as gambling gets Cart-Blanche to advertise across the internet, while a fledgling industry still finding its feet like cryptocurrency is ostracized to the point of destruction.
If anyone has the slightest doubt that this is not the reason for the current market slump, ask yourself this: if tomorrow Google, Facebook and Twitter ended their bans and allowed cryptos full access to their platforms, does anyone really believe it wouldn’t have a massively positive effect on the market?
It’s time for the crypto community to rally round, hire a top league team, go to the highest courts in the land and contest the dubious actions of Facebook, Google and Twitter. What they have done in unprecedented in the brief history of the internet, and cannot go unchecked. The crypto industry must do this while they still can, before it’s too late.