Just In 8 months the crypto-currency space has lost 2Trillion US dollars in market capitalization. Within the period, Bitcoin has lost about 70% from its peak value and has been seen trading below 21K USD.
The reverberating impact of the crash of Cryptocurrencies is far reaching. Huge losses is crystallizing on margin and leveraged positions as exchanges are closing out accounts and positions that can not meet margin call requirements.
The bottoming out in this space does not seem to be near as Cryptos have been established to be sensitive to inflation and interest rate.
As easy money fades and with expected hike in Fed's rate, all highly risky assets which cryptos belong to would witness significant price drops.
This is not a time to buy any dip. It is time to review your romance with Cryptos. Given that a number of firms in the crypto ecosystem are laying off staff and scaling down, you should think again.
Micro Strategy, a firm deep into blockchain and cryptocurrency is reported to be losing 1Billion dollars in value. This firm had converted all their cash to Bitcoins.
You can not equate a speculative play in Cryptos as investing.
Invest in assets that have underlying productive value and in assets you fully understand their dynamics.
The cryptocurrency space has lost 2Trillion US dollars in market capitalization.
