«Meatballs» with a taste of sadness. The stock market lost 700 billion a year

© Fotolia / adrianbysiakЗолотой bitcoin«Meatballs» with a taste of sadness. The stock market lost 700 billion a year© Fotolia / adrianbysiak

In the year since the beginning of the «cryptocurrency boom» market capitalization of digital money has decreased six — fold, from 826 to $ 135 billion. Now market-leading cryptocurrency almost out of the red zone. Why is the world so quickly tired of the virtual coins — in the material RIA Novosti.

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The end of November was truly black for all of you who were hoping to buy family and friends Christmas gifts the profits from trading digital currencies.

According to Coinmarketcap, at the time of writing, the largest of them — Bitcoin fell to 4 $ 220. The lowest rate recorded 27 November — 3 709 dollars for the cue ball. Concerning the annual maximum (it so happened that at the same time and the historical record) in 19 655 dollars, recorded 19 December, bitcoin prices dropped 5.3 times.

The same «black» was Tuesday the last week of November and for the rest of the five largest by market capitalization of cryptocurrencies. Etherium fell from a high of 1,358 to $ 106 dollars, it is 12.8%, Ripple — 14 times: from 3.64 dollar per share to 37 cents, Stellar — from 87 to 14 cents (6.2%), and Bitcoin is Cash, and even fell by almost 23% from 3 to 167 649 dollars.

«During the week bitcoin lost 26,24% of the cost and dropped to the lowest level in 14 months. And since the beginning of the year, its price fell by 70%. It’s safe to say that his purchase this year with the expectation of quick and high profits has proven to be one of the worst investment ideas,» — said the expert of the International financial center Olga Prokhorova.

The main reason for the drop is that the cryptocurrency market has been saturated with money Amateur investors who rushed to sell digital coins, as soon as stopped the growth of quotations. And increasing pace of decline in prices has caused widespread panic among holders of bitcoin, and led to a major crisis on the stock exchanges, trading with virtual money.

According to senior analyst IK «freedom Finance» Vadim Merkulov, a health process in kriptonyte turned so that it remained only enthusiasts and institutional investors are developing their projects in the field of blockchain.

The flight of non-professional investors with the cryptocurrency market, according to experts, will continue until the end of 2019 — mid-2020. Professionals from the digital money discourages exposure of crypto-currencies to speculative manipulation.

In this case, the anonymity of cryptooperation works against the industry, not allowing to establish uniform rules for the operation and regulation of markets of digital assets. And without the approval of the state regulators of the rules for institutional investors simply do not have the right to operate this asset class.

In the end, in the coming months, major rebound in the stock market is not worth waiting, and bitcoin could fall below three, or even two thousand dollars.

On the verge of a blackout

While financial regulators are endless debates about what is considered a cryptocurrency, money, securities or property, utilities, and businesses began to restrict so-called «mining» («the production» of digital money on computers), which requires more electricity.

In Canada, Prime Minister of Quebec Philippe Cuyar questioned the benefits to the economy of the region mining companies and advised them to look elsewhere for business.

«If you want to come here, to connect their servers and start mining bitcoins — we don’t really care. Just have the servers to perform transactional operations and receive new bitcoins — I don’t see any practical sense,» he said.

Restrictions introduced in the United States and China. For example, in the U.S. city of Plattsburgh has announced an 18-month moratorium on industrial mining. And in Washington, suggested to establish special rates for miners, because in only one district Chelan they had more than 200 MW of electricity (the same uses of special economic zone «Alabuga» in Tatarstan).

The Chinese authorities woke up early. In January of this year, an Interdepartmental working group that includes representatives of the people’s Bank of China, has sent the leadership of the region, where many coal and hydroelectric power, the demand to ban the activities of the miners.

© RIA Novosti / Evgeny to Odinakovymi in photobacteria for mining cryptocurrency«Meatballs» with a taste of sadness. The stock market lost 700 billion a year© RIA Novosti / Evgeny to Odinakovymi in photobacteria for mining cryptocurrency

As a result of pressure of the authorities on the one hand and the fall of the market prices of cryptocurrencies with the other miners began to go bankrupt. So, in mid-November, declared bankruptcy one of the largest American mining companies Giga Watt, which were in the top 5 cryptoendolithic giants.

In Giga Watt documents presented in court, it is noted that her assets are «zero to fifty thousand dollars, while the debt from ten to fifty million.»

So the answer to the main mystery this year — what is it made of carton, in which the lives of homeless cryptanalytic, is simple: from his dashed hopes.