The Global Cryptocurrency Market is Plummeting – Traders Advised to Cash Out
People who are thinking about investing in cryptocurrency should stop for a minute and rethink their decision. The global cryptocurrency market is known for always spiking in value but things are not looking so well as of late. In fact, every single cryptocurrency that’s available for purchase is tanking right now. Nonetheless, today we’re going to go more in detail over what’s causing cryptocurrency to lose so much value in such a short period of time.
Bitcoin, Ethereum, Litecoin and Ripple are Losing Value
The most known and sought after digital coins are Bitcoin, Ethereum, Litecoin and Ripple. Sadly, all of them are losing value. Ripple went down by 14%, Bitcoin by 11%, Litecoin and Ethereum’s value also declined by 50%. These statistics are a digital coin trader’s worst nightmare. In addition, EOS and Qtum took the biggest nosedives and lost 40% of their value.
What’s Causing This?
The question that’s sitting in everyone’s minds right now is what’s causing this? The answer is fairly simple, China’s ban on Initial Coin Offerings (ICOs). On Monday (September 4th), China announced its ban on ICOs and that’s what made the global cryptocurrency plummet so hard. ICOs are token sales which are being used by individuals and organizations in order to raise funds for a new cryptocurrency venture.
China announced that it believes ICOs are not good for the world economy since they are not regulated by anyone. Furthermore, China also stated that everyone who is involved or was involved with ICOs should start making refunds as soon as they can or there will be consequences. However, we need to mention that other countries such as America have yet to announce if they will follow in China’s footsteps and ban ICOs as well. All in all, digital coin traders are advised to cash in before their window of opportunity fades away.