No one seems to know why the world’s #1 and #2 cryptocurrency networks Bitcoin and Ethereum are both plummeting today. Well, okay, this might have something to do with it.
In the wake of the Bitfinex exchange hack news, Bitcoin and Ethereum sold off broadly, with Bitcoin down 7.43% over the last 24 hours and Ethereum down a life altering 21.59%. That’s how it is in crypto, though – one day you’re shopping for the Gatsby mansion, and the next day it’s dodgy wi-fi in a tent city, just trying to place that one last trade to get you out of your Bitcoin hole. We’ve all been there.
Bitcoin, man. Not even once.
In all seriousness, though, if the market didn’t sell off after a huge exchange hack and troubling community division over how to handle possible competitor Ethereum, I’d begin to think the markets are artificial.
This is healthy and natural. People are angry and scared. They are selling to perceived higher ground until they can make sense of what is going on. Big exchanges like Bitfinex are not supposed to be losing people money in 2016. Not like this.
I noticed in Bitfinex’s statement regarding the breach they stated that only Bitcoin funds were lost – other “tokens,” including Ether, are allegedly intact.
I’ve been in crypto for too long to lose any sleep, or sweat, over this one.
I bought more of my favorite crypto today, actually. It begins with an E. Perhaps you can fancy a guess as to which one it is. And after what I heard about it this past weekend in California, oh boy. It’s about time crypto found its magnum opus. I’ll leave it there; onward and upward.
Not financial advice. No warranties or guarantees provided. At time of publication, I hold some US dollars, bitcoin, ether, and gold.