Ok, full disclosure I still have only the slenderest grasp on what cryptocurrencies are. However, I gather that these digital currencies – Bitcoin, Ethereum, Binance, Terra and of course Doge – have the power to make and break fortunes. Markets, where people trade in blockchain-based decentralized currencies, are typically volatile. They may not be illegal in India, but they are not legal either – they are just legal enough for the government to tax transactions. #CroptoCrash was trending. Here’s why:
The value Bitcoin and Ethereum, two of the biggest crypto currencies fell 5% in just 24 hours; and as much as 15% in the past week or so.
Other such as Terra, Solana, Avalanche, XRP and Polkadot experienced even more precipitous falls – 9% in 24 hours and up to 30% over the past week
Digital currencies are volatile and unpredictable – still incomprehensible to a lot of us.
It doesn’t always work out.
It can make or break fortunes
The losses suffered by some would be difficult to take – especially from family members who may say, I told you so.
Some haven’t only because they haven’t checked their portfolios.
Some think the whole crypto bubble is going to burst soon.
The Russia Ukraine war, rising global inflation & surging prices of fuel all over the world have contributed to the sharp dip in valuations.
One of the reasons for this is that people are selling since it is time to pay income taxes in some parts of the world such as the UK, Europe, the USA and so on.
Financial pundits believe that it will take a while for valuations to climb to the high marks of the past.
Some are convinced that this is what is being done.
#Cryptocrash is trending and the memes are entertaining. Beyond this, some of us have little interest in the highs and lows of the digital currency market. They're just here for the crypto crash memes.
…Are still learning
Don’t panic sell
Some want to go shopping
Because FOMO and because of Crypto Twitter – now they regret it because the slide has been continuing.
Experts are telling investors to invest for the longer term and to hold on for now. It seems bad now with #CryptoCrash trending, but the prognosis over the longer duration is not so bad they say.
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