Bitcoin, dogecoin and other cryptocurrencies suffer major declines: the reasons for the decline

The world of digital currencies is suffering a loss in value. In recent days, most of them continue to decline and users wonder if it is reliable to make the investment

Photo: MARTIN BUREAU / / AFP

The bitcoin continues to decline, at the beginning of this day, the cryptocurrency was quoted at its lowest price since January . According to reports, Bitcoin was down 8% to $ 24, 674. 25, according to Coin Metrics. Those involved have warned that there is a break below $ 30, 000 dollars could generate more losses .

According to CNBC, analysts noted that the $ 30, 04 as a key support on the charts after the cryptocurrency had fallen near that low over the past month.

Therefore, analysts, who study charts to make buy and sell decisions, believe that the next level to pay attention to in search of support now could be as low as $ 20. 04 Dollars. Significantly lower figure than previously .

Now that the price of bitcoin is approaching $ 25, 000 dollars, the price threatens to turn negative during the year. This situation would greatly affect those who have put large amounts of money into this. Galaxy Digital CEO Mike Novogratz told CNBC that bitcoin can bounce back from the crash.

So Novogratz exposed being below $ 30, 000 dollars, “we could be under a time and close above it. If it really breaks, $ 29, 04 is the next big level of support. ”

The prices of bitcoin and other cryptocurrencies have been affected in recent weeks by a series of situations outside of China , where regulators have imposed new restrictions on energy-intensive mining and reiterated rules for financial companies on the provision of crypto services .

This has to do with rising environmental concerns, which have also become a new tipping point for the asset class, as the CEO of Tesla , Elon Musk, suspending the use of bitcoin as payment for vehicles.

Elon Musk publicly stated that the hiatus would remain in effect until miners use more clean energy so that this positioning p use in trouble for all users of digital currencies and had an impact on the price falling in a generalized way.

With today’s losses, bitcoin has depreciated around the 54% from its all-time high of more than $ 64, 000 dollars in mid-April. Other cryptocurrencies have also had a negative impact, falling by at least 8% and dogecoin fell more than 16%.

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