Bitcoin greets midweek traders with a dramatic fall. The world’s most popular cryptocurrency fell as much as 15% since June. Unfortunately, this marks bitcoin’s lowest level in four months. For some time, Bitcoin was bravely fighting back. However, it failed and on October 16, it reached a new low. Under pressure, while fluctuating below the 8 000 USD barrier on local lows of 7 930 USD. Bitcoin is drastically spiraling to get a closer 7 400 USD mark. Moreover, Buyers absorbing downward movements, only to increase sentiment to drive prices lower in return, dictate current activity.
Altcoins Takes a Ride with Bitcoin.
Bitcoin’s volatility took its toll on altcoin markets. Following Bitcoin, many cryptocurrencies in the top twenty by market cap fell around 5%. Leading the losses were Tron, EOS, and Binance Coin, all of which shed between 6% and 7%. In addition, Bitcoin SV delivered 1% gains. The largest altcoin by market cap, Ethereum traded 4.2% down at 176 USD.
The overall cryptocurrency market fell below 220 billion USD with Bitcoin’s share making up 66.4% of the total.
Cryptocurrency may not be the best Store of Value.
Cryptocurrency traders, mostly beginners, think that if you put 100 bucks of value into crypto today, then in the future you will get your money of the same value back by selling the crypto.
Unfortunately, this is not how crypto works. Cryptocurrency is so volatile, thus it is unpredictable and unstable. It is quite hard, to establish a rational price for cryptocurrency. Cryptocurrency is not a revenue-producing asset. Cryptocurrency has no maturity date; however, the value is changeable and variable. This fact makes it an unreliable source to store value.