The crypto rush at the end of last year saw increasing levels of interest from new investors. Yet, for many who invested when prices were high, they are now feeling the burn as the market struggles to gain traction.
Investing at the Wrong Time
One such individual who was in this investing boat was Congresswoman Tulsi Gabbard, a Democrat serving Hawaii’s second district.
According to a Financial Disclosure Report, Gabbard of Hawaii bought between $1,001 and $15,000 Ether and Litecoin on 12 December. At the time, one Ether was worth over $600, which rose to a high of nearly $1,430 at the beginning of January, according to CoinMarketCap.
At the same time, Litecoin rose from $330 to around $370 on the 19 December. Despite a slight dip in price toward the end of the year, January saw Litecoin’s price remain in the $300 range. Since then, however, both cryptocurrencies have dropped in value.
At the time of publishing, Ether is trading at $275 and Litecoin is just under $56. Bitcoin, which was valued at close to $20,000 mid-December is currently trading at $6,470. Not only that, but compared to the more than $830 billion combined crypto market at the start of January, it’s now valued at $209 billion.
Gabbard isn’t the only politician that has invested in the crypto space. Earlier this month, member of Congress and the chair of the House Judiciary Committee Bob Goodlatte, revealed his crypto earnings. According to his annual financial disclosure, Goodlatte holds between $17,000 and $50,000 in cryptocurrency. His son, Bobby Goodlatte, took to Twitter and showed his approval with a thumbs up sign.
— Bobby Goodlatte (@rsg) August 7, 2018
Investors Get Stung
For the many who invested in the crypto market toward the end of last year, 2018 has not been the best ride to be on.
Earlier this week, it was reported that countless individuals who had invested during the Bitcoin boom were experiencing some hard lessons. One investor, Pete Roberts, from Nottingham, England, said he got caught up on the FOMO (fear of missing out), reports CNBC. As a result, he invested $23,000 into different crypto assets. They are now worth around $4,000.
The losses have pretty much left me financially ruined.
Unfortunately, Roberts is just one of the many who invested when prices were high who then suffered a significant loss as 2018 unfurled. Yet, it is due to these losses that people become weary of investing the next time around. And because of this progress remains slow and measures such as proposed Bitcoin ETFs become a viable lifeline for the many who believe it will boost market prices up.
Did you invest in crypto at the height of values last year? Let us know in the comments below.
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