Dark hour! Bitcoin prices fell more than $5000 in three hours for the first time in history

At the beginning of 2021, the price of bitcoin has stepped out of the roller coaster market, and set a record of sharp drop after reaching a new high of US $33000. Data show that bitcoin began to plummet from about $33000 at 3:00 p.m. Beijing time on January 4, and fell more than $5000 within three hours, the first time in history that bitcoin fell to $28101. As of press release, bitcoin prices rose to $31796.22. Photo source: non small website “by the market a rod hit Meng.” Some investors have made comments on the Internet. After 20 days of brewing, bitcoin rose from 1.8 to 1.8, and almost no pullback occurred. Bitcoin rose steadily until it broke through the $30000 barrier. However, happiness comes and goes quickly, and the price slump causes market turbulence. Since 2010, the roller coaster of bitcoin has cost countless investors nothing. Long Dian, founder of huoxun finance and economics, told reporters: bitcoin prices can’t be in a sustained rise stage. At present, bitcoin prices have entered the horizontal market cycle, and may be in the horizontal market stage next. In the long run, the general trend of bitcoin price rise is just beginning, and the withdrawal of $30000 has little impact. From a professional point of view, the bitcoin price will go up. “As for when it will reach a relatively high point, we predict that it will be June and July next year, and the whole market will start to go down.”. Bitcoin prices hit a 24-hour low of $28108, according to non-small data. As of 21:00 on January 4, bitcoin, which has skyrocketed in recent days, has plummeted all the way, falling one after another, falling below $30000 at one time. The 24-hour low was at $28108 per piece, nearly $6000 higher than the 24-hour high. David Rosenberg, former chief North American economist of Bank of America and Merrill Lynch, who is known as a Wall Street prophet, warned investors in a recent media interview: “bitcoin’s going out of a parabolic trend in such a short period of time is very abnormal for any kind of securities asset.” He believes that bitcoin is the biggest bubble in the market at present. Why did bitcoin rise and fall sharply in this round? Long Dian, founder of huoxun finance and economics, told reporters: bitcoin prices can’t be in a sustained rise stage. At present, it has entered the horizontal market cycle, and may be in the horizontal market stage next. In fact, the price fluctuation of bitcoin can not be called a sharp drop, because today’s maximum withdrawal rate is 13%, which belongs to the normal withdrawal rate range. The previous rise led to a large number of investors to follow up, some institutions and retail investors want to sell after profits. In the long run, the general trend of bitcoin price rise has just begun. Compared with the daily increase of $4000 a few days ago, the withdrawal of $5000 today has little impact. In the long run, bitcoin prices will go up. As for when to reach a relatively high point, we forecast that it should be June and July next year, in which there will inevitably be fluctuations. Yu Jianing, rotating chairman of the Special Committee on blockchain of China Communications Industry Association and President of Huo coin University, told reporters: since the birth of bitcoin, the price fluctuation has been relatively fierce, and generally speaking, it has experienced two big ups and downs. One was that in November 2013, the price of bitcoin reached nearly US $1000, but in September 2015, it fell all the way to US $200; the other was in March 2017, the price of bitcoin exceeded the price of one ounce of gold for the first time, and reached a historical high of $19875 in December of that year, and then entered the trough of nearly three years, and the price was as low as $3000 at the end of 2018. Yu Jianing said that the sharp rise and fall of bitcoin price is actually due to the highly financial nature of digital assets such as bitcoin, which has formed a relatively complete financial system. Although it is not as big as the traditional financial market, its financial instruments and financial innovation are relatively complete, “although the sparrow is small, it has five internal organs”. Public information shows that bitcoin is an open-source software designed and released according to Nakamoto’s ideas and constructs a P2P network on it. Peer to peer transmission means a decentralized payment system. Originally proposed by Nakamoto in 2008, it was officially born on January 3, 2009. Digital finance itself is a double-edged sword, investors need to be particularly cautious. It is worth mentioning that the recent bitcoin futures position explosion has occurred from time to time. According to the latest data of bitcoin home.com, in the past 24 hours, the whole network has burst out of 590 million US dollars, about 3.802 billion yuan, and 1.462 billion US dollars, about 9.422 billion yuan, with 104719 people. In response to this phenomenon, Longdian told reporters: the continued soaring market has exceeded many people’s expectations. After breaking through the $30000 point, the market has entered a dangerous area. From the current market situation, the leverage with large ratio is easy to burst. In the falling market tonight, the amount of a cryptocurrency exchange has reached 190 million US dollars. The cryptocurrency market is still full of risks. Investors need to be careful not to use leverage or contracts, and there is a risk of open positions at any time. Yu Jianing told reporters, “we believe that all financial derivatives are designed to let everyone control risks, allocate positions reasonably, and even make risk returns, or hedge to hedge risks, rather than simply strengthen risks and expand leverage multiples.” Digital finance itself is a double-edged sword. On the one hand, it attracts different types of investors with different risk preferences to participate in the market; on the other hand, it will make some investors who do not understand or operate improperly will face greater risks and losses. Daily economic news

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