The prices of few cryptocurrencies have decreased in the past two days and the blame seems to be on the fear that regulation authorities will enforce the market control.
Bitcoin has had a price drop on Monday, influencing in the same time negatively other virtual coins, such as Ether and Litecoin. According to Bloomberg, the main cause was the intensification of market control.
Regulation authorities from South Korea and China are enforcing the surveillance of Bitcoin transactions. Also, there has been an enhancement in the control over the mining of the virtual coin.
Coinmarketcap.com has decided to disbar all the data from South Korea regarding Bitcoin trades, and that has led to an appearance of a massive price decrease.
Bitcoin’s price has decreased with 17%, reaching the value of $14,820 on Monday. That represents its biggest price drop for the past two weeks. The Top 10 virtual coins with regard to their market capitalization, have had a negative evolution if we look at an average of the past two weeks. The majority of them, have suffered a drop of almost 10% according to Coinmarketcap.com
Also, Cardano and Litecoin’s price has decreased with 16% to a minimum of $230 per unity.
Bitcoin is practically the same this year, after a growth of 1400% in 2017.
China’s intention is to limit the power consumption for some Bitcoin miners. This could be a long term issue, for an industry where high power consuming networks allow transactions with the virtual currency. South Korean authorities announced last week that they will be allowing limited transactions of cryptocurrencies.
The demand of virtual coins in South Korea is big enough to distort some of the prices.
Coinmarketcap.com has decided to exclude the South-Korean platforms, which led to a depreciation of 31% for Ripple.