What Happened To The $20,000 Bitcoin?

The number one cryptocurrency by it’s market cap, Bitcoin, got down more than 60% from its highest point less than two months ago. As we can see here on this chart, Bitcoin is now trading for a little less than $9,000. This is far from the $20,000 Bitcoin we once saw – but then again – another great opportunity for buying (according to many).

It seems that many of the traders got terrified with the current downfall trend in the value of (the once) $20,000 Bitcoin and also because of the bad news we received from Korea and India. Another thing that happened is the announcement from major US banks. They said that they wouldn’t support any crypto purchase. Banks that support these decisions are one of the biggest financial institutions such as JPMorgan Chase and Bank of America. These financial institutions don’t want anything to do with Bitcoin purchases with credit cards, and also don’t want to get involved with the risk of crypto trading.

One bigger issue occurred when China decided for even harsher regulations in their country. They want to go on with full access ban to all exchange platforms whether they are international or domestic. Also, all of their major social media networks banned all ads regarding cryptocurrencies just like Facebook did.

Another problem is the connection that Tether has with the US dollar. One Tether token is equal to one dollar. But many investors believe that Tether doesn’t have the reserves to back up its huge market cap. Tether hasn’t really been very transparent and many allegations were claimed against it. But if those allegations are true, we can, unfortunately, face another big plunge in the price of Bitcoin.

So, while we won’t see the $20,000 Bitcoin soon – this is definitely a great period to buy, especially considering the recent gains in the price of Bitcoin.