Ether Rebound Helps to Ease Pain of Cryptocurrency Diehards | Crypto Craft

  • Ether Rebound Helps to Ease Pain of Cryptocurrency Diehards

    From bloombergquint.com

    Ether’s free fall has stopped -- at least for a day. The second-biggest cryptocurrency surged as much as 14 percent to $206 as of 10:05 a.m. in New York. Ether had crashed 85 percent this year, raising concerns about its viability after an eye-popping rally took if from less than $10 at the start of 2017 to as high as $1,300 in January, according to CoinMarketCap. Bitcoin, the largest digital token, added 3 percent to $6,497. Regulatory uncertainty, disappointment that mainstream adoption of cryptocurrencies has been slower than some anticipated and concern that institutional investors are getting cold feet, ... (full story)

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rohitcs
Sep 14, 2018 4:40am
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Two major reasons for Ethereum decline were:

1. Firstly, the introduction of a new BitMEX - ETH perpetual swap contract, which allowed traders to shorten the price of ETH with up to 100x leverage in a similar manner like the XBT (BTC) BitMEX contract. Although this has not been confirmed, this statistic has led to the speculation that the arrival of the contract allowed pessimistic investors to weigh down on the price of ETH.

This itself gave birth to many tweets and discussions, which are highlighted below: As pointed out by Cryptoeazy on Twitter, since the arrival of the perpetual contract in early August, the price of Ether has fallen by 57%.

2. The ICO sell-off factor, with many traders claiming that projects have begun to liquidate their war chests, that are often full of Ether, into fiat, leading to the current collapse of the market, not only ETH.

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