Bitcoin has given way to fear uncertainty and doubt once more as last week’s updates didn’t seem enough to sustain any recoveries. On one end, many media outlets continue to cover the bloodbath and are likely convincing more holders to liquidate while on other end, speculators and investors who rushed to crypto seeing the sharp rise in its value supported by forecasts from famous analysts who claimed bitcoin will scale even higher grounds started to leave the market as fall in value resulted in huge loss of capital investment which caused them to flock out while they could still recover considerable portion of their investment.
Recent Recovery Rally Failed To Trigger Long Term Positive Price Action
However even those few investors from the speculation group who decided to patiently wait out the sharp fall on hopes of recovery have started to leave as signs of recovery from last week of November 2018 failed to take hold of opportunity and continue upward price action. Revived focus on institutional investments allowed bitcoin to pause from its selloff and many hoped that it could be followed by an even larger bounce. However the latest SEC commentary on how the lack of consumer protection measures in the crypto market means that they’re not likely to approve any bitcoin ETF applications anytime soon puts the industry a huge step back as it would mean other altcoins would have to wait much longer for the expected stable upward price action resulting in investors continuing to abandon crypto currencies.
Bulls are also likely holding out for bigger developments instead of mere speculations to build up a solid recovery which means that the last month of 2018 is going to see legacy crypto currencies take on range bound price action. Simply put it looks like the slide could carry on until actual evidence of a pickup in volumes from institutional investors early next year is seen. Bitcoin has fallen below $4000 mark and is currently trading at $3992.4 down by 0.93% on the day while ETH/USD pair is trading at $111.15 down by 2.15% on the day. A fall in value of bitcoin is usually mirrored by other legacy crypto currencies and given the fact the fundamental reasoning mentioned above applies to almost all crypto currencies the crypto market overall is likely to see subdued price action in near future.
This article was originally posted on FX Empire
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