The last five days have been tough for the cryptocurrency market, especially bitcoin. The value of bitcoin has come down by nearly 10%, which is the lowest bitcoin price in the last three months.
On Friday, bitcoin prices dropped by 5%, leading to the price standing at $41,000. However, in November, bitcoin touched $69000, the highest price of all time. Today, bitcoin lost about 40% of the total value since the November highest record.
The volatility in the prices of bitcoins is more than the last 13 years nowadays, and therefore, the critical factors leading to the fluctuation should be noted.
As a part of the cryptocurrency fluctuations in the whole market, the prices dropped, and there has been a sell-off in the cryptocurrency market. However, this is not happening on a large scale now.
In December, people were very much scared of the upcoming events in the future and therefore, they started to sell their bitcoin assets. However, now the case is entirely different. Now there are some prominently compelling scenarios in the different corners of the world.
On Friday, the prices of bitcoins were valued at as low as $41,704 in the United States of America. However, the prices are not sure if they will remain the same. There are specific reasons behind the fluctuating prices of bitcoins today.
Everyone who is an investor should be attentive to them to get a clear perspective about the future of bitcoin on http://thenewsspy.technology/.
Shut down of Internet in Kazakhstan!
There have been significant events going on in different corners of the world, leading to the clampdown of the cryptocurrency market. However, a prominent one among them is going on in Kazakhstan. Recently, the Kazakhstan government decided to raise fuel prices because the government is not making enough revenue.
However, this was not acceptable for the country’s people because they had a low-income group. Also, their income was not increased, and therefore, it is going to affect their household expenses to a large extent. It is one of the most important reasons because of which riots are going on in Kazakhstan.
People have come onto the streets to protest against the government, and also, it has got violent. Therefore, the government will reduce the internet supply all over the nation. It has led to the clampdown of cryptocurrency mining operations because it primarily operates on the Internet only.
Due to the significant impact of the Internet on the bitcoin network, bitcoin prices have started to decline because of the decreasing hash rate.
Aggressive policy by Federal reserve!
Another major event leading to the clampdown of increasing bitcoin prices is the Federal Reserve’s aggressive policy. In December 2021, the government decided to implement a new policy because inflation was ever-increasing.
The inflation hedge in the United States of America has been highest since the past few years. Therefore, the government decided to launch a new bill that will regulate the cryptocurrency brokers and the whole market of the United States.
It has led to the selling of triple currency assets among the people because they do not want to invest in the risk considering assets. It is one of the most important reasons people have shifted their preferences from the traditional market to safer options.
People are withdrawing their investment from bitcoins and investing It in the United States dollar.
Multi-million dollar scam on bitcoin in Pakistan!
Another important reason because of which the prices of bitcoin are experiencing a downfall is from Pakistan. Recently. Pakistan’s Federal investigation agency issued a notice about viral cryptocurrency exchange among the people.
There has been a massive scam in bitcoins because a hacker was trying to steal bitcoins from people through a cryptocurrency exchange. The multibillion-dollar scam was linked to a cryptocurrency exchange, and its all operations are banned in the borders of the United States and China.
However, the cryptocurrency exchange was one of the prominent ones worldwide, but still, the hacker managed to get his way out of it. He stole a lot of bitcoins from the cryptocurrency exchange, leading to the downfall of the cryptocurrency market.
