Bitcoin crashed again? Don’t panic. We break down the key reasons behind the latest crypto crash 📉, from Mt.Continue reading on Coinmonks »Bitcoin crashed again? Don’t panic. We break down the key reasons behind the latest crypto crash 📉, from Mt.Continue reading on Coinmonks »
Why Bitcoin Crashed Again (And Why I’m Not Worried)
Bitcoin crashed again? Don’t panic. We break down the key reasons behind the latest crypto crash 📉, from Mt.
Tabish anwar
4 min read
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4 days ago
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Bitcoin, the world’s leading cryptocurrency, is notorious for its volatility. While the long-term trend has been upward, sharp and sudden crashes are a regular feature of its market cycle. If you’re watching your portfolio dip into the red, it’s natural to feel anxious. Let’s dissect the reasons behind the latest downturn and explore the case for long-term optimism.
🔍 The Culprits: Key Reasons Behind the Recent Crash
Several macro and crypto-specific factors have converged to create significant selling pressure.
1. 🏦 Mt. Gox Repayments Begin (The Biggest Fear)
- What Happened: The defunct Mt. Gox exchange, which collapsed in 2014, finally began repayments in Bitcoin (BTC) and Bitcoin Cash (BCH) to its creditors.
- Why It Caused a Crash: This is injecting approximately $8–9 billion worth of Bitcoin into the market. Creditors who have waited a decade for their funds are highly likely to sell a portion (or all) of their recovered assets to realize cash profits. This creates a massive…
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