crypto
What Happened to Cryptocurrencies in January?
January 31, 2018 .

Last month we wrote an article about the basics of Bitcoin – since then cryptocurrencies have faced severe volatility – in January alone the price of bitcoin fluctuated more than 40%. This has resulted in bitcoin and blockchain more prevalent than ever in the press. Here is a list of some of the more interesting articles to keep you up to date.

Price

https://www.coindesk.com/three-possible-reasons-the-crypto-markets-tanked-this-week/

In the middle of January, over a 36-hour period, $300 billion of value was lost in the cryptocurrency market.  The article discusses 3 main reasons for this:

  • South Korean regulators bearing down on the crypto market
  • Use of complex market tools (i.e futures) impacting prices and;
  • Strain on market infrastructure as more people look to buy crypto

Volatility.

https://www.lifehacker.com.au/2018/01/why-bitcoins-price-is-so-volatile/

The volatility of bitcoin is severe – this article discussed the reasons for this volatility and boils it down to two main reasons:

  • Ownership is very concentrated – 95% of bitcoin is owned by just 4% of people with bitcoin
  • Lack of government regulation

The Experts

https://www.marketwatch.com/story/bitcoin-and-cryptocurrency-on-twitter-the-most-important-people-to-follow-2017-12-04

There are a lot of so called crypto “experts” out there – this article lists the real experts to follow on twitter including founders of coins, bitcoin analysts and famous investors and miners.

The Bulls

https://www.coindesk.com/wall-street-veterans-raise-50-million-crypto-fund-funds/

Wall street is also excited about the opportunities in cryptocurrencies – there are now over 175 crypto hedge funds including the one discussed in this article.

The Bears

https://www.coindesk.com/roubini-doubles-crypto-criticism-calls-blockchain-overhyped/

Not everyone is buying into the hype with some seriously smart people not onboard the blockchain bandwagon. This article touches on Nouriel Roubini’s (former Clinton administration economist who predicted the 2008 financial crisis) and George Soros’s bearish views.

The Blockchain

https://hackernoon.com/wtf-is-the-blockchain-1da89ba19348

This article isn’t new but it is the “The ultimate 3500-word guide in plain English to understand Blockchain.” It may not help you make millions trading cryptocurrencies but it will definitely give you a greater understanding of the technology that sits behind it.

A Bit of A Laugh

http://www.betootaadvocate.com/uncategorized/bloke-didnt-buy-bitcoin-year-ago-says-nearly-bought-bitcoin-year-ago/

A good article to show that friend of yours who keeps telling you how he almost got rich off bitcoin.

What’s clear is that cryptocurrencies are far from being a stable place to put your money, if you have long term financial goals then better to go with a sure bet.  Get a free financial roadmap covering every aspect of your financial life from Plenty.

The information contained on this page is of a general nature and may not be appropriate for your personal circumstances. You should obtain personal financial advice before acting on this information.

(Visited 67 times, 1 visits today)
Related post
blog comments powered by Disqus
Latest tweets