3 Reasons for recent Cryptocurrency Crash

Three recent events might explain the current collapse:

1.) The SEC announced last Friday that the operators of two “Initial Coin Offerings” (ICOs) broke the law by selling unlicensed securities and must pay fines and restitution.

2.) Bitcoin Cash fork was messy and created renewed centralization concerns over Bitcoin Cash. This made Bitcoin Cash prices crash and this spread contagiously to the rest of the Crypto market.

3.) Crypto investors received bad news from chip-makers Nvidia and Advanced Micro Devices, which recently reported steep sales declines for cryptocurrency equipment. The sales declines suggest interest in crypto has waned.

Possibly, all three events had an impact on the crypto markets. That should be good news for investors. Markets always recover from individual shocks.

Sven Franssen