Bitcoin Fall Below $8000 Again





Bitcoin and other digital currencies were in free fall Wednesday 23, 2018. Over the past 24 hours, the bitcoin price dropped by around 4 percent from $8,300 staying at $7,606 as at the period of publishing this post.

The collapse in cryptocurrencies has seen the total value of all coins fall to $326 billion, down some $50 billion in just 72 hours, according to Coinmarketcap.

Bitcoin bull Tom Lee of Fund start Global Advisors is holding firm, telling CNBC that institutional investors are just waiting for clarification of regulation before dipping their toes in the water.

Lee told CNBC that his price target for the No. 1 digital currency "Bitcoin" remains at $25,000.

Bitcoin Price Trend

The correction of the cryptocurrency market can be attributed to three major factors: Mt. Gox sell-off in early May, Bitfinex taxation policy, and a scandal involving South Korea's two largest cryptocurrency exchanges Upbit and Bithumb.

The three factors led investors to lose confidence and trust in the cryptocurrency market in the short-term. By targeting a small portion of their user base to forfeit tax IDs and personal identification, Bitfinex led large-scale investors to become fearful of a potential government intervention and withdrew big sums of funds from the exchange.

In South Korea, due to the controversy surrounding UPbit and Bithumb, local investors have become confused and indecisive, not knowing whether the local cryptocurrency market can be trusted or not.




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