What has happened with cryptocurrency lately? First we had the fork, now this? This past week, the cryptocurrency market cap has swindled all the way down from $163,000,000,000 to $118,000,000,000.
So, we ask ourselves, “why?”
Dimon’s ‘Fraud’ Statement
If you havent heard already, JPMorgan & Chase CEO Jamie Dimon said some pretty harsh words about Bitcoin. In fact, he labeled Botcoin as “stupid”.
Furthermore, Dimon said he’d “fire in a second” any JP Morgan trader who was trading Bitcoin.
Here’s some other notorious sayings, which came out of Dimons mouth:
“If you were in Venezuela or Ecuador or North Korea or a bunch of parts like that, or if you were a drug dealer, a murderer, stuff like that, you are better off doing it in Bitcoin than U.S. dollars.”Jamie Dimon
“It’s just not a real thing, eventually it will be closed … It’s worse than tulip bulbs. It won’t end well. Someone is going to get killed”
Since Dimon has totally crushed cryptocurrency investor’s ego about cryptocurrency, the whole cryptocurrency market has plummeted. As a matter of fact, value dropped down several percentages that day.
Although the “crash” happened during the same dayof Jamie’s statement, many people are skeptical that his opinion alone caused this. Frankly we are too. However, we do believe it had some type of impact within the cryptocurrency market.
Cryptocurrency Enthusiast’s Answers
The whole digital currency market took Dimon’s words and managed to garner their particular own opinions about the recent crisis. Fred Wilson, one of the most respected Bitcoin investors, said:
You have to have an open mind to be able to see the future
The Venture capitalist and other hedge fund managers currently involved in the Bitcoin and digital currency craze took it to themselves to note that the whole Dimon statement is a clear reflection on how financial institutions are being pressured with the growing popularity of the decentralized digital currencies.
Another recent event that took Bitcoin down was the abrupt news about BTCChina’s (BTCC) decision of ceasing digital currency trade in China. Their decision is expected to take effect on September 30.
On the other hand, BTCC assured everyone that their mining pools and international exchange would continue and are expected run normally. According to the latest reports, their decision is highly marked by the effort of local Chinese government to lessen the domestic cryptocurrency activity. Rumors are also circulating that local regulators are pushing a ban on domestic Bitcoin exchanges as well.
The Ultimate Effect
The whole conundrum this week has pulled Bitcoin’s price down, after hovering above the $4,000 mark earlier this week. As of writing, the price of Bitcoin plummeted by a whopping $500. It also hit a new low of $3,350.17 on CoinDesk.
While looking further back this week, the Bitcoin Index fell a whopping 3% on the exact time of Dimon’s statement, dismaying a lot of investors after the digital currency’s recent stellar performance. Ofcourse this is around the same time BTCChina came out with their latest annoucement.
What Does This Mean For Investors?
Chances are, you might be doubting cryptocurrency. We are here to tell you that events like this are completley normal. In fact, most crytocurrency investors should be prepared for this to happen, because the market is so volatile. These recent events show how much impact we have on the cryptocurrency market.
We think these events occured, because the Banks are scared they will not be in power anymore. Furthermore, China is trying to put terror within the cryptocurrency market.
Some argue it’s working.However, some don’t fall for this and keep on investing. In our opinion, this is a geat time to stock up on your favorite cryptocurrency!
Like This Article?
For more news about the cryptocurrency world, money making strategies, and daily inspirational reads follow Wealthy Hustler! Never miss any of the latest and freshest updates.