The value of bitcoin has been climbing steadily for most of 2020. However, Sunday was the day that all bitcoin owners have feared. The price had climbed all the way up to $10,300. This was the highest price it had been all year. However, Sunday saw all of the major cryptocurrencies take a big hit. Bitcoin dropped down to $9,600. There were many experts who thought that the value of bitcoin would keep climbing for at least the next week. It turns out that these people were very wrong. Bitcoin started to fall much sooner than investors though that it would.
People who have invested in bitcoin are obviously not very happy about what happened on Sunday. However, all is not lost. There is a very good possibility that bitcoin could quickly rebound and start to climb again in the near future. According to cryptopotato.com, there are some very reliable projection models that indicate this could very well happen before the end of February. However, there are a number of other things that will need to happen in the global financial markets in order to trigger a resurgence in bitcoin value. Bitcoin price fluctuations have been notoriously hard to predict.
It will be interesting to see what the value of bitcoin does over the next week. Some investors decided to sell a large portion of their stash when the price started to climb. Those people made the right decision. People who have held onto their bitcoins in the hopes that the value would keep climbing are very disappointed right now. However, there are many bitcoin investors who are in for a long-term investment. They are not phased by the extreme volatility of the market. People who plan on keeping their bitcoin investment for a long time understand that there will obviously be highs and lows in the market.
The sudden bitcoin drop on Sunday was a surprise to many people around the world. There is a theory that the drop also had something to do with new cryptocurrency regulations that were just announced by the government in the United States. There is no way to prove that. However, it is common for bitcoin price to fall whenever a major country announces regulations that will make it harder to trade cryptocurrency within its borders. There is a good chance that the new U.S. regulations and the sudden fall of the bitcoin price are both related.
