Bitcoin drops to its lowest level since November 2017
Bitcoin has never been lower since November and its price has dropped by around $ 1,000 over the last two days to reach a new low of $ 5,800.
This is the lowest point in many months, lower than in February, when it fell to $ 6,000, lower than in April, when it was over $ 6,000 and was lower than the price since October, except for a brief fall in November.
Its volumes have also declined to about $ 3.6 billion, with half of its network capacity now being spent on the 0.46 MB bitcoin block size.
This is significantly less than the significant backlogs that used to be seen, as Bitcoin’s blockchain is now being used less than it was in 2015.
However, their market share is increasing, but their market capitalization will fall just under $ 100 billion for the first time in many months.
There is really no reason to make a name for this recent downturn. There has been no exchange, for four years there is no black swan left in Bitcoin.
It could therefore have been a case of buying the rumor, selling the news, rumors that the scalability debate is taking place, and the news is the start of the Lightning Network (LN).
The latter is expected to be disappointing as far as the entire Bitcoin network is concerned, as it functions as an accounting system and thus differs from a blockchain transaction.
It has used niches, but for everyday transactions, the LN bitcoin becomes a little more impractical alongside simple bitcoins that are already uncomfortable on their own.
Usability is a point that was made a long time ago, and cryptos have gone some way in the right direction, but now the task for Bitcoin may be a bit more difficult.
But no-one seemed to care about usability unless the charges were $ 70 and everyone was starting to sell. The real explanation could therefore be simple supply and demand.
The supply was cut in half for Bitcoin in 2016, so that the price rose slowly and rose, then in December to rise quite quickly.
At the same time more and more mining hardware came on. Now these two parameters of supply and demand try to reach a balance.
Where that can still be seen, and which miner must first file for bankruptcy, it will probably soon say. In the meantime, maybe Bitcoin can find something else again than the price you can talk about because the price could get boring for a while.
Kraken Daily Market Report for 23.06.2018
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