Bitcoin: It is forecast to decline further to $ 22,000

Bitcoin crashes as global stock markets experience a massive sell-off …

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According to data from CoinMarketCap, the price of bitcoin virtual currency fell below $ 30,000 on July 20 around 3:00 p.m. (Vietnam time), almost 6% less than it was 24 hours ago. This is the first time since June 22 that Bitcoin has slipped out of this price level.

Other virtual currencies in the market also fell sharply, with Ethereum losing more than 12% of its value in the past 24 hours, XRP losing 15% and Dogecoin losing nearly 20% in value. Accordingly, the virtual currency market has been around 98 for the past few days. lost Billion USD Capitalization.

Bitcoin crashes as global stock markets experience a massive sell-off. On July 19, the Dow Jones Industrial Average posted its steepest decline since October last year.

“There has been a massive sell-off in the world market, with risk assets falling across the board,” said Annabelle Huang, partner at the financial services company Amber Group for virtual currencies. “Many are concerned about the quality and strength of the economic recovery and the weakening of risky assets. Combined with Bitcoin’s recent weakness, this has resulted in the cryptocurrency market collapsing. ”

In addition, China continues to tighten control over the trading and mining of virtual currencies, which has a huge impact on the price of Bitcoin. Large areas of cryptocurrency mining in China had to be closed. Recently, the People’s Bank of China urged banks and financial companies not to offer virtual currency-related services.

In 2017, China banned domestic cryptocurrency exchanges and forced them to go abroad. Since the beginning of the year, Chinese authorities have taken a number of tough steps to further tighten restrictions on the trading and mining of cryptocurrencies.

Authorities around the world are also trying to tighten control over this market. Last month, the world’s largest cryptocurrency exchange, Binance, was banned from operating in the UK. And authorities in Japan, Canada and Thailand warned against this virtual currency exchange.

Since setting an all-time record of almost 65,000 U.S. dollar In mid-April, Bitcoin has lost more than 50% of its value so far.

“Overall, we see a stronger regulatory focus on the cryptocurrency and bitcoin markets,” Vijay Ayyar, head of business development at the Luno cryptocurrency exchange, told CNBC.

According to Ayyar, Bitcoin is dropping below 30,000 U.S. dollar is a major development and this virtual currency could fall to the test of 22,000-24,000 U.S. dollar. Then Bitcoin can be between 20,000-40,000. act USD in Ayyar predicts that there will be some time before it can rise again.

Duc Anh

VnEconomy