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Diversify They Said: Bitcoin’s Drop Sparks Double Pain For Altcoin Holders
Wilma Woo | Feb 02, 2018 | 08:30
Bitcoin has proven its worth in a fresh market downturn as altcoin assets across the board dramatically overtake its losses.
Bitcoin Steadiest Top-50 Asset
A glance at Coinmarketcap’s top fifty cryptocurrency asset prices Friday reveals even Ether (ETH) to have lost around 7% more than Bitcoin’s 15.5% daily minuses.
Ripple shed 31%, Bitcoin Cash 20% and Cardano 37%, putting it just behind Ardor’s 39% as the top fifty’s biggest loser as of press time.
The only asset to buck the trend in the top one hundred assets is Digix DAO, which in an unlikely opportunistic growth spurt appreciated 90% in the last 24 hours.
Why is it that when $BTC crashes, every other #crypto crashes more? Shouldn't competition be inversely correlated? Fact is, there is only one true decentralized blockchain. #bitcoin👇 pic.twitter.com/fk8psqI7iG
— Armin van Bitcoin ⚡ (@ArminVanBitcoin) February 2, 2018
As mainstream media once again raced to celebrate the popping of the Bitcoin ‘bubble,’ cryptocurrency industry insiders showed no signs of panic.
In what has become a common sequence of events for 2018, fresh downward corrections are being met by tips to “buy low” concerning Bitcoin, its lesser fall making it the ideal holding currency for purchasing even lower altcoins.
Meanwhile, investment platform BankToTheFuture creator Simon Dixon led forecasts of where Bitcoin’s price bottom would eventually appear, considering $7300 as the site of a future upward correction.
Korea Ditches ‘Kimchi Premium’ Arbitrage
Downward selling pressure had been mounting through last week for Bitcoin. Regulatory overhauls in South Korea, reiteration of government stance in India and the misrepresentation of both in the mainstream press led to an infiltration of ‘fake news’ which appeared to frighten markets.
The flurry of media speculation produced fertile ground for naysayers, with popular monitoring site 99bitcoins now containing almost 250 Bitcoin ‘obituaries.’
At the same time, conditions in jurisdictions which contributed to negative sentiment are showing signs of marked improvement.
South Korea, which had previously been famous for mismatched crypto prices and associated arbitrage opportunities, has reinvented its landscape as new regulations deliver changes.
Data from Bloomberg and CryptoCompare shows the price of a bitcoin in the country now de facto matches global averages.
What do you think about crypto markets’ current performance? When will Bitcoin bottom out? Let us know in the comments below!
Images courtesy of Shutterstock, Twitter
