Is it the end of the Bitcoin boom? Cryptocurrency drops below $47,000, wiping out October earnings


Bitcoin ( BTC ) suddenly dropped below $47,000 on December 4, losing nearly 20% in the past 24 hours. That makes this the biggest one-day drop since May 15, when the price of Bitcoin momentarily dropped to nearly $33,000.

The BTC market price dropped 26.4% from the one-week support of $57,206 to drop to $42,268 before rebounding to the $45k mark. According to Coinglass data, the Bitcoin market had total sales of $1.3 billion at the last minute, with $735 million settled in long BTCs this fall.

Graph showing total BTC settlements. Source: Coinglass

As a result, Bitcoin’s bear market cancels the 2-month bull market since September 29, where the BTC soared over 63% to hit a record high of $67,602 on November 8th. However, several Bitcoin analysts including TechDev point to a similar trend with Bitcoin price action for each year.

Another reason for Bitcoin’s two-month low streak can also be attributed to the dominant resistance of US regulators who invited the CEOs of major cryptocurrency exchanges including FTX and Binance US, for an audience on cryptoactives.

On the other hand, some believe that Bitcoin price may now stabilize after the drop. For example, CEO of cryptocurrency educational platform Eight Global Michaël van de Poppe stated:

Despite concerns around volatility and non-compliance with traditional financial practices, Bitcoin continues to grow as a viable asset for jurisdictions with unstable economies.

Related: Zimbabwe could be the next country to adopt Bitcoin as legal tender

Following in El Salvador’s footsteps, the Zimbabwean government is considering the mainstream use of Bitcoin. According reported by Cointelgraph , retired Brigadier Colonel Charles Wekwete, permanent secretary and chief of the president’s cabinet and the cabinet’s e-government technology unit, confirmed that discussions with the companies are already underway.

Related: El Salvador accumulates 150 Bitcoin after BTC price drops below $50k

According to Wekwete, authorities intend to develop regulations to protect consumers against financial threats such as unrecorded international transfers, externalization of money and money laundering.

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Thomas Miles

Cryptocurrency is the most recently discovered currency which will be likely at the help of modernization across the next few decades. With a limited control from the government, the crypto market is independent of many features of a sound market as we know it. Thomas brings these stories to us by weaving them into articles of general importance to all those looking at the fluctuations in the market, or new entries. Thomas is also the founder of Bulletin Bits and is an excellent leader. His leadership is the kind that makes him the most knowledgeable and experienced on the team. His wonderful work ethic and attitude are worthy of imitation!

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