In December 2017, bitcoin touched an all-time high and crossed the $18,500-mark. At that time, cryptocurrency experts predicted that it would cross the $20,000 mark. However, since then prices have tumbled and are now hovering around the $10,000 levels. Since the new high, there has been a steep correction in the prices. Here is why.
The price impact
Bitcoin experts say that a price correction was expected, as the steep increase was euphoric and in fact prices are likely to come down below the $10,000 level. “Last year, price increase was quite sharp. It was mainly euphoric in nature. The price was completely driven by news announcements. This correction was expected and I expect the prices are set to further come down to $8,000 to $9,000 levels,” said Praveen Kumar, chairman and chief executive officer of Belfrics Global SDH, a company that runs bitcoin exchanges in Singapore, Malaysia, Bahrain, Japan, Kenya, Nigeria, Tanzania and India.
