If you have invested in cryptocurrency, especially bitcoin, the month of May must have been a nightmare for you. The largest cryptocurrency; bitcoin, went through some of the biggest price fluctuations in its history. If you love bitcoin trading, Bitcoin trade is the best platform for you. There are several reasons behind the bitcoin market crash, but the good news is that the crypto has bounced back and has recovered the losses. Bitcoin’s price increased by double digits on 24th May. You can read the latest news about bitcoin in the following paragraphs.
Crypto market bouncing back after the downfall
24th May brought some happiness to the faces of crypto investors as after facing the downward trend for few weeks, the crypto market showed some signs of recovery, and the upward trend continued on Tuesday as well. On 23rd May, bitcoin’s price fell as low as $32000, but on 25th May, it recovered a bit and increased by 19%, which made the price reach $39801. The upward trend in bitcoin’s price affected its counterpart, Ethereum, positively as its price also grew by 34% and touched $2668. The recovery of the bitcoin market came after some wealthy investors increased the demand for bitcoin by purchasing a massive number of coins. With some increase in the demand, the price of bitcoin also went up and gave some relief to the investors.
Moreover, the comments made by Ray Dalio also helped the bitcoin market to recover as he said he would prefer bitcoins over bonds. He advised the investors to invest in bitcoins instead of bonds as there is minimum government interference in the crypto market, and it can pass inflation easily. He even stated that he also owns some bitcoin, but he didn’t make any comments on the exact amount owned by him.
Bitcoin grows back after Musk’s tweets
The price of bitcoin recovered a bit after Elon Musk took to Twitter to reveal that he held a meeting with the bitcoin miners and discussed the ways through which the environmental impact of bitcoin mining could be decreased. It again increased the interest of investors in bitcoin as it was a clear indicator that if the environmental damage caused by bitcoin can be minimised, there are chances that Tesla may start accepting bitcoins, and it will surely increase the market value of bitcoins. On the other hand, the meme cryptocurrency dogecoin showed some growth and increased by 38% and reached 33 cents on 25th May. The overall trend of the crypto market was quite positive, and more recovery is expected in the next few weeks.
The last crypto crash caused a gigantic loss
Almost everyone is aware of the crash that occurred in the crypto world in May, but very few people are aware of the total damage done by it. The losses caused by the crash has broken all the previous records as according to the latest reports, the May market crash caused a loss of a whopping $4.53 billion and $14.2 million in a week. The bitcoin market has faced a plunge in the price of over 50%, and several institutions and investors have faced tremendous losses. The severity of the crash can be understood by the fact that the world’s biggest cryptocurrency that was sitting at $60000 in April, plunged to $31000 in a month. Fluctuation has been an integral part of the crypto world but no one expected to face such massive fluctuations.
Musk held a meeting with bitcoin miners
Elon Musk cannot stay out of the news, especially when it comes to cryptocurrencies. Now he is again in the headlines as he held a meeting with a group of bitcoin miners from North America and told his followers about the same on Twitter. He stated that he is communicating with miners to make mining operations environmentally friendly. It is a positive sign for the bitcoin investors as the environmental damage was the primary reason behind Tesla’s decision to stop accepting cryptocurrency.
In the past month, Elon Musk has triggered a widespread sell-off in the crypto market as his tweets caused rapid fluctuations in the price of bitcoin. Moreover, the fluctuations increased when the tweets were accompanied by the news that Chinese authorities have imposed a ban on bitcoin operations and has advised the banks to stop facilitating cryptocurrency transactions.
