Nowadays all cryptocurrencies mostly bitcoin prices a going down and down. Today we are going to target the topic actually why cryptocurrencies and bitcoin prices are going down and more down. There are some technical reasons that we gonna discuss. In these topics, we are going to study in detail.
Reasons why bitcoin and other currencies prices are going down
- Elon Musk’s Tweets
- More Power Consumption while crypto mining
- Facebook going to launch its own crypto
- Big countries ban bitcoin
- America applied a big tax ratio on BTC miners and holders.
- ETH is now getting more power and market cap
Elon Musk’s Tweets
Elon Musk’s as everyone knows is a big crypto holder nowadays. He is a single person who has earned a big amount while trading in crypto.
Let us go back to the old days of bitcoin when the bitcoin price was very low at $38,074 and Elon Musk enters the crypto market.
This was the time when Elon Musk got the benefit a Tesla owner, As we know Tesla is big vesicles manufacturing company. He started to buy bitcoins silently and no one knew the plan of Elon’s plan. He bought almost half the Market of bitcoin and that night Elon Musk started posting tweets about Bitcoin.
Suddenly Bitcoin prices got Pump cause Elon is the Owner of Tesla and this is the fuck truth of our humanity that we trust only the richest person in the world. At that time Elon was the 5th richest person on earth.
Now the journey of becoming the 1st richest person in the world started.
Elon did not stop posts about Bitcoin prices and BTC marketing.
Must read Elon’s Tweet about DOGE coin.
Then Elon Launched that test will accept crypto and Bitcoin and American’s can now buying on tesla using bitcoin currency.
That was the time when bitcoin prices started to pump in the market. Cause bitcoin was the hub of other cryptocurrencies that’s why other crypto prices automatically started to increase. After seeing Elon Musk’s post other richest market holders started buying coins.
This time Elon Musk was also started to sell coins in the background. After holding a big amount of coins he started to plan to dump the prices of bitcoin cause now that time bitcoin could not go more up and up. Bitcoin was on the peek of its prices and Elon Was also started selling coins.
After selling all coins that Elon was held now that time Elon becomes the 1st Richest Man of the World.
This is the time when Elon decided to down the BTC prices and now Elon Posted a tweet that
“Tesla has suspended vesicles purchasing using BTC cause of more power consumption of the world” Below is the Screenshot of the whole tweet.
Wow, that’s interesting. So now you have clearly understood how Elon’s role was important to pump and dump BTC prices. Elon Musk’s role was very important in the BTC market, he was alone to set bitcoin prices and its interest level in the market. The crypto market was dependent very hardly on Elon’s tweets.
More Power Consumption while crypto mining
Minning is a bit a tricky process, when any coin’s mining machines increase the mining process difficulty increase directly proportional. In simple words when more devices try to min the same crypto the process seems more difficult.
In this situation more Power and electricity required to min. This clearly means that consumption of anything in the world increases its prices. When mining machines started mining, this thing created a big power crisis in the world.
After seeing these crises, many countries banned bitcoin and crypto mining at their country level. Cause of this blockage bitcoin faced a big crisis in its price.
Facebook going to launch its own crypto
Facebook is also going to launch its own cryptocurrency name as deim.
Cause so now facebook was clearly needed to dump the BTC price. Because facebook wanna purchase its on btc to launch deim. That’s why they made many tried to down BTC price and its level in the market.
Big countries ban bitcoin. A reason behind the bitcoin price dump
Big economical and financially strong countries of the world banned crypto buying and selling in their countries. A big example is China. In China, you can only min limited crypto but not all currencies. Whit the passage of time many other countries banned like Saudi Arabia and Other Islamic Countries banned.
The main reason behind this is the same power consumption. Many countries are facing power issues in their countries, so they can not afford power to min any crypto. They don’t have enough power to waste.
America applied a big tax ratio on BTC miners and holders
In the latest news, America made a special team to track all crypto holders and made a special taxing system for them. In the past few years, this was used to make black money white. Now America realized that tax should also apply for cryptocurrency trading or selling purchasing.
If we see this is a positive step by the American government.
ETH is now getting more power and market cap
Now we talk about ETH market cap, ETH is a coin that is more beneficial than BTC. ETH is more powerful and secure than BTC.
BTC was only for selling purchasing. But ETH is a contract coin. You can have a contract while using ETH. That’s another reason to dump BTC prices in the market.