Deadly competition: why altcoins hurt Bitcoin price?
Source:
A Huge number «competition» creates excessive pressure . To such conclusion economists at the Federal reserve Bank of St. Louis. The results of their recent research was on the organization's website.
The report is talking about «vicious circle», which is created in the market due to new alithina. They pull the part of capitalization and investor attention on themselves, leading to a decline in the trading of Bitcoin. The fall of volatility of the main crypto-currencies has a negative impact on the rest of the coins, leading to a General decline of the industry.
theWho impede the growth of Bitcoin
At the moment, the movement of the stock market is based on two opposites. Bulls believe that the limited emission of Bitcoins will eventually lead to the explosive growth of the asset, and the bears are counting on his rapid fall to zero. According to analysts, while none of those scenarios will come true in the near future.
The price of Bitcoin almost does not depend on the ratio between its capitalization and the total value of kryptonyte. As an example, analysts cited the graph of the index of dominance of the main cryptocurrencies over the past years. Despite the sharp fall of the index in early 2017, bullrun still held, and Bitcoin could grow up to $ 20,000.
Source: Cointelegraph
However, a further increase in the popularity of various cryptoprocta will exert negative pressure on «the king of the market».
And although the price is unlikely to fall to zero, diversification of investors across digital assets «spray» the purchasing power of market players, which will decrease over time.
Recall that Bitcoin is the best and safest investment in the industry. Therefore, we recommend to take at least half of its portfolio for major cryptocurrencies.
Recommended
the long-awaited summer. Niche cryptocurrency supported the event and gave unusually hot week. During the last seven days, we learned about the new line of graphics cards from AMD, the mining in TON and hard forks . In addition dealt with the profita...
Co-owner Bitcoin.org Coinbase Pro ridiculed and called a stock exchange Scam
co-Owner Bitcoin.org and most popular forum about cryptocurrency Bitcointalk.org Cobra called Coinbase Scam Pro trading platform American crypto currency exchange Coinbase. In his tweet he wrote «if you read Coinbase Pro backwards, get the word ...
The Ethereum is a cryptocurrency Scam. A new report Chainalysis
When people learned how to create a new cryptocurrency and began to build their infrastructure like marketplaces, in the field began to appear and fraud. According to blockchain auditor Chainalysis for the past two years, fraud in the ecosystem has s...
Related News
VEB and the Grozny mayor's office transferred the housing sector on the blockchain
In February, the first Deputy Chairman of VTB Olga Dergunova positively the prospects of the blockchain. According to her, the technology will improve the speed of transactions and security standards. To move from words to action ...
Hacker 1337. How to hack Etherscan not to cause any harm
Monday on the website Etherscan.io appeared a pop-up message with the numbers 1337. The visitors began to panic and spread rumors about hacking Explorer. really hacked, but the damage from a hacker attack was zero. About it writes...
Indian banks to block the accounts because of bitcoins. What caused it?
In social media there are more reports that Indian banks threaten its customers with suspension of the account. This is due to the fact that customers allegedly used the Bank account to buy BTC. Think this is one of the final chor...
Analyze graphs: Litecoin is preparing for growth. Time to buy?
After the rapid fall of Bitcoin on Thursday the stock market continued a gradual decline to the bottom. The main bitcoin still below $ 4,000, which greatly enhances the bearish pressure on the prices of altcoins. Is currently trad...
The trader predicts the sale of crypts. Bitcoin could fall below 3 thousand dollars
the Price of the leading cryptocurrency will bottom at 3 thousand dollars against the backdrop of massive sales of scriptaction. At least, so says futures trader Anthony Grisanti, referring to protracted kryptonia. Grisanti analys...
Bitcoin is experiencing chaos. But this makes it only stronger
constantly attacking people who can't wait to see him crash. Throughout its relatively short history the asset and then blame the media, CEOs of traditional financial institutions, the envious and the cynics. Although such passio...
Half of the bitcoins have not moved for a year. It seems that the market is under accumulation
referred to as digital gold. First, the analogy can be traced thanks to the artificially programmed deficit — Satoshi Nakamoto limited the total number of BTC 21 million coins. This should give Bitcoin a deflationary effect...
Under the hood: anonymous possession of Noda in China is now outlawed
China has made new rules in furtherance of «healthy development» blockchain technology. A set of laws without fanfare reformatted into a manual for office for cyberspace, the PRC. Now the authorized body of the country w...
What has caused the fall of Bitcoin this week? Opinions of Russian experts
on Thursday showed that while the worst fall in 2019, the cryptocurrency fell by 10 percent in just a few hours. Journalists, RIA Novosti tried to figure out what is actually linked to the collapse of the market. Judging by the re...
The proportion of Augur on the market dApps less than 100 thousand dollars. What does this mean?
the founder of the Tetras Capital Alex Sunnarborg said that the gambling platform suffers from a lack of turnover, a problem which has for some time detrimental to the entire ecosystem of decentralized applications (dApp). 9 Jan p...
Why the 51 attack Bitcoin will never take place? Expert's answer
this week the main topic of discussion was on the blockchain Classic. After a daring capture most of Hasrat althena more and more experts began to Express concerns about the security of the main cryptocurrency. As the network of B...
Analyze graphs: Ripple ready to fall. It's time to short?
Following the main cryptocurrency chart drew a U-turn and came back under the control of bears. The asset is under serious threat of further drain, which should lower the price of XRP is below the main support line. If in the near...
Trap for the investor: how fraudsters use hardwork Constantinople in their favor?
the Upcoming hardwork and is a great opportunity «earnings» for fraud. Now the Internet can I find information about Nowa Ethereum blockchains and Classic Vision that is allegedly separated from both cryptocurrencies in ...
the last Few days -the bulls fought bravely at the level of 4 thousand dollars, but have been unable to accumulate significant impetus for the further promotion of the coin. Despite the lack of a clear uptrend, the number of short...
Continue the fall of Bitcoin in the near future? Response graphs
on Thursday, fell 8 percent in just a few hours. As a result of discharge of the main cryptocurrency market capitalization declined by nearly $ 10 billion. The situation remains critical, but in the short term may develop and bull...
Excursus in history: the first cryptocurrency exchange and Bitcoin 0.003 dollar
If you don't count the mining, soon after the appearance to get inside was via the forums and IRC channels. All agreements about the transactions and transfer the agreed amounts have been built on trust, as there was not even the ...
Circle CEO: Bitcoin will have a greater impact on society than the Internet
most recently, Circle conducted an AMA session on Reddit. CEO of the company Jeremy Allaire and other representatives of the company answered the most common questions community. Also members of the team Circle was summed up in 20...
25 percent easy. "The king of bonds," predicts sharp jump in Bitcoin
the CEO of the company DoubleLine Capital, which manages assets worth more than $ 200 billion, has prepared advice to the speculators. Jeffrey Gundlach believes that the rate can rapidly increase to 5 thousand dollars. According t...
Only 15 percent of the GBR Ethereum is ready for the hard forks Constantinople
Constantinople — one of the most important upgrades that can be activated within five days. The event will take place smoothly, or an unfortunate case of testing hard forks in testnet again? According to the experts Trust Nodes, o...
The Ethereum fell below $ 130. What's next?
Price continues to trade in a fairly narrow limits until the previous discharge. Looking at the chart, every day that the cryptocurrency below the level of 154 dollars, had a negative impact on its prospects for growth. Now we can...
Comments (0)
This article has no comment, be the first!