Bitcoin's sharp drop in price over the weekend (and continuing to today) is still about China


The most recent decline started on news that the People’s Bank of China told businesses involved with cryptocurrencies to correct any improper actions 

  • asked investors to be wary of virtual currencies
Bloomberg cite this as still being a factor, along with:
  • Traders are blaming low volumes
  • & citing attractive returns from traditional assets
  • Also … Smaller miners are also getting squeezed out by the falling price, causing further selling toward the break-even level of around $5,600 to $6,400 (this is dubbed “miner capitulation” … you might think that miners dropping out would (at least temporarily) reduce supply and thus act as a supportive factor but here we are 😉 )
I posted earlier on the slide for the cryptocurrency here: Weekend (and into Monday) bitcoin update (down date is a better description)


Source link