This weekend has not been a great one for Bitcoin enthusiasts. People keeping a close eye on the Bitcoin price will have noticed things are heading in the wrong direction again. It is unclear why people are massively liquidating Bitcoin right now, though, as things seem to be heading in the right direction for the future of cryptocurrency overall.
Bitcoin Price Takes Another Nosedive
It had been a while since we last saw extreme Bitcoin price volatility, yet it remains things are reverting back to the way they were. There have been a few Bitcoin price crashes this week, the biggest of which sent the value down by over US$200 in an hour. It is still unclear to this day what triggered that particular sell-off, although there are some factors that can explain this downturn.
Earlier this week, the Bitfinex exchange opened a brief window to process USD withdrawals. All platform users have been waiting for this service to be resumed for some time now. Albeit it is not a permanent solution right now, exchange users successfully transferred some funds out by the look of things. This means people started selling Bitcoin and other cryptocurrency assets in exchange for US Dollars. Given Bitcoin’s recent price surge, that is anything but surprising.
Unfortunately, all good things must come to an end. This is particularly true for the Bitcoin price, as it has come down quite a bit these past two days. Although yesterday showed some signs of promise, it looks like the bearish trend is manifesting once again right now. A major Bitcoin sell-off is happening across exchanges as we speak, pushing the price back below US$1,800. This is not something to worry about if it is only a brief retrace, yet no one knows for sure how things will play out right now.
All of this goes to show cryptocurrency is still a big problem, even where the Bitcoin price is concerned. The weekend is a rather strange period for cryptocurrency values, as gains and losses are recorded every week without a clear reasoning behind these changes. It is expected the Bitcoin price will regain a bit of value before the day is over, though, but reaching US$2,000 or more may take a bit of work.
Header image courtesy of Shutterstock