Cryptocurrency has been taking a beating in the news lately, but why did it crash today?
Cryptocurrency has been taking a beating in the news lately, but why did it crash today? On October 27th, Bitcoin dropped to $5,300 after reaching an all-time high of $6,500 just a few days prior. Other cryptocurrencies also took a hit with Ripple falling by more than 20% and Ethereum dropping by over 12%. Here’s what happened and why you should care.
What is cryptocurrency?
Cryptocurrency is digital currency that uses encryption techniques to regulate the generation of units of currency and verify the transfer of funds. Cryptocurrencies are decentralized and distributed. This means that no single institution controls them or their network. They are also considered to be anonymous as they do not have any personal information attached to them.
Why did cryptocurrency crash today?
“Bloomberg: Crypto Crash Today: Investors Are Wary Over Market Regulation”
Bloomberg reported on October 27th that crypto investors were worried about regulation. The article cited an investor survey conducted by Fundstrat Global Advisors which found that investors were concerned about government regulations in the United States and Asia, where crypto exchanges are based.
