News
Cryptocurrency Market Under Pressure As Bitcoin, Mt. Gox Collapse
The cryptocurrency market is under pressure as bitcoin (BTC-USD exchange rate) prices are dropping following the initiation of customer refunds by Mt. GoxThis development has raised concerns about a potential bitcoin correction or a large-scale fire sale.
Major cryptocurrency exchanges, including industry leader Coinbase Global (CURRENCY), are seeing their stock prices drop in response to the news.
Market Domination Co-Hosts Jared Blikre AND Josh Lipton learn more about the details.
For more in-depth insights and the latest market action, click Here to watch the full episode of Market Domination.
This post was written by Angel Smith
Video Transcription
We’ll also be keeping an eye on cryptocurrencies this afternoon.
Bitcoin’s crash after the collapse of the Mount Gox exchange is reportedly starting to refund nearly $9 billion in Bitcoin and Bitcoin Cash.
It owes money to customers following its bankruptcy in 2014.
Now, cryptocurrency exchanges like Coinbase are taking a nosedive and a simple question might be: why is this happening?
Why is Bitcoin falling in value?
Well, in Japan there will be 140,000 Bitcoins when they start distributing them to customers.
A lot of customers will say, “Well, I want to convert that into cash.”
So they sell the Bitcoins and then buy US dollars or whatever their local currency is.
This is what creates potential pressure, but not necessarily in Germany.
I think there is a trustee who will distribute something like 50,000 Bitcoin, which is quite a lot.
So, you know, there’s another two billion dollars.
So that tends to impact the price.
And I think, you know, the technical aspects of Bitcoin are not looking very good on Wi-Fi Interactive.
I like to draw it at least once a day.
Here we are.
This is the price trend for the year and now we are below.
We have already gone down on other occasions, but we quickly recovered.
It looks like this won’t happen today, but wait another day.
So, and then you said, well, what, what’s the cast to get this thing moving in the right direction again with an accommodating federal, do it and make a cut or two.
You know, I think a dovish Fed is actually historically positive for Bitcoin.
So it might have something to do with it.
Um, you know, Bitcoin is the limit of inflation?
I think we don’t have enough time for this discussion.
We actually don’t have enough time for this discussion.
We’ll make room, we’ll make room, they’ll be in the podcast too.
Yes.
Well, we also have take-out.
AS.