Bitcoin recovery: Several months of stable trading which ended in an unexpected drop in value on Thursday resulting to much as five percent of the cryptocurrency’s value lost in a matter of just minutes.
The latest bitcoin crash has resulted to Nearly $13billion being WIPED OFF, The digital coinage hit a low of $6,180 (£4698) on Thursday evening before a small recovery in price early Friday morning which has since seen the value of Bitcoin stabilise around the $6,2350 (£47400) mark.
However, despite the day of stable trading, there have been warnings the cryptocurrency could be set to experience a sudden further fall in value.
Although the cripto currencies are already recovering to stability, it is unclear whether the stability will be long as the major cause of the plunge remains unsolved and as such,
Bitcoin recovery remains shaky
Some of the Major reason for the crash.
The market drop comes amid wider losses sustained on the global markets in Asia, Europe and the US.
Turkish analyst Nouriel Roubini, known in the crypto circles as “Dr Doom”, will testify before the US Senate today about the dangers of cryptocurrency.
In a statement published before the hearing, he labelled bitcoin and fellow cryptocurrencies the “mother of all bubbles”.
Mr Roubini said: “It is clear by now that bitcoin and other cryptocurrencies represent the mother of all bubbles, which explains why literally every human being I met between Thanksgiving and Christmas of 2017 asked me first if they should buy them.”
The analyst warned the too many people without any “financial literacy” have jumped the bitcoin bandwagon, including scammers and criminals, which has caused the currency to “bust and crash in a matter of months”.
While Bitcoin is recovering after the crash the stability of the digital currency will most likely remain shaky.
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