Bitcoin, the world’s leading cryptocurrency was trading down the $10,500 level this morning marking the largest loss in week by declining around 10%.
After a rally reaching to over 13K level last week, Bitcoin has dropped against investors expectation of a continual rise to $15,000. Other cryptocurrencies were down as well with Ethereum trading at $290 and XRP trading at $0.398.
In the past 2 weeks, the hottest topic was the launch of Facebook own crypto currency, Libra, after which the crypto currency prices rallied up specially Bitcoin. The plan of launching Libra, has risen the expectation of the undeniable reality of where the world is heading to now in terms of money movement and banking, moving money via digital blockchain-like technology.
On the other face of the cryptocoin, the risk is still surrounding the digital currency era and some investors still fear the future of the digital currency dealing. As Bitcoin reached almost $14,000-mark last week, one hour after, the price has dropped by $1700 causing an outage of major cryptocurrency exchanges being inoperable.
Such a flash crash is very common specially when the market is very bullish. The last sell-off of Bitcoin is nothing but a reminder to investors that it will happen again as we have been witnessing several similar scenarios in the past 8 years.