Skip to main content
  1. Home
  2. Computing
  3. News

Bitcoin market cap has already dropped more than $80 billion in 2018

By

bitcoin stock
Vyacheslav Prokofyev/TASS/Getty Images
Bitcoin may have hit historic highs in December 2017, but just one month into the new year, investors are feeling the pinch of a major correction. Following a slight dip towards the end of last year, bitcoin has crashed hard in the weeks that followed, leading to a fall in market cap of more than $80 billion.

Although bitcoin and other cryptocurrency prices are regularly discussed in terms of individual token prices, the sheer number of tokens out there means that the entire market of any individual cryptocurrency can be worth billions. In the case of bitcoin, it was worth more than $200 billion at the start of 2018, but already that’s fallen to $143 billion at the time of writing. Other cryptocurrencies have been similarly impacted, though Ethereum has managed to remain in the black, despite similarly volatile peaks and troughs.

Recommended Videos

This should all come as no real surprise to long-term cryptocurrency evangelists, as the digital currencies have always been volatile in nature. It was only in 2017 that their value seemed only able to increase. Crashes have happened before, with this latest one spurred by a combination of mistaken reporting related to statements made by India’s finance minister, as well as Facebook’s announcement that it would no longer support ICO and cryptocurrency advertisements. As BusinessInsider points out, the subpoenas levied against major exchanges Bitfenix and Tether didn’t help either.

Related

This latest crash is a big one, though. At the time of writing bitcoin has fallen to $8,500, its lowest figure since the end of November last year. However, despite all of the negativity surrounding the flagship cryptocurrency, many in bitcoin social circles claim that holding on to your coins is far better than panic selling.

They may have at least some good reasons to do so. Acceptance of bitcoin in various online outlets is only increasing and Twitter co-founder Jack Dorsey also announced just a few days ago that full bitcoin support with the Cash App. That should make it easier than ever for those without much understanding of bitcoin and other cryptocurrencies to buy their own.

As scary as the prospect of regulation can be, we don’t think it will have the teeth some fear it may develop in the future. With enough evangelists still touting bitcoin as “gold 2.0,” it seems unlikely to fall from relevance anytime soon, even if its latest bubble has well and truly burst.

Editors’ Recommendations

Topics
Jon Martindale
Jon Martindale
Evergreen writer
Jon Martindale is a freelance evergreen writer and occasional section coordinator, covering how to guides, best-of lists, and…
How to buy Ripple
ripple cryptocurrency banking news ripplexrp02

While all cryptocurrencies are a little different from one another, Ripple stands apart with its backing by major banks. That's lead to some exciting partnerships, which in turn helped boost Ripple and its transactional protocol, XRP, to become one of the largest cryptocurrencies by market share in early 2018.

Cryptocurrency know-how

Read more
Litecoin vs. Ethereum
litecoin vs ethereum etherlitecoin01

When it comes to investing in cryptocurrencies, nothing is a sure thing. If the past few years' significant booms and busts told us anything, it's that you can expect volatility, wherever you go. That said, diversifying your crypto-portfolio is a wise move. Although Bitcoin often drags everything up and down with it, some tokens do things better than others.

But which alternative currencies should you consider investing in? We have our favorites, but if you want to put your eggs into one specific basket, you need to look at the differences between some of the best options. What about if we pit Litecoin against Ethereum -- which one comes out on top?

Read more
Ethereum vs. Bitcoin: What’s the difference?
ethereum vs bitcoin bitcoinethereum01

Cryptocurrencies can be a little confusing. Are they digital money or more like gold? Are they a new way to pay for things online or a way to store value? Those aren't easy questions to answer when you're talking about hundreds of different cryptocurrencies, some old, some new, and some very different from the rest. When you focus Ethereum versus Bitcoin, though, there are some stark, apparent differences.

Their age is the most obvious, with Bitcoin having entered this world as the very first global cryptocurrency in 2009 and Ethereum only showing up in 2015 as a potential alternative. Although it is less proven than its predecessor, Ethereum does have a few nifty features that give it a lot more potential than its older sibling in some key areas. For this guide, we'll look at two shared aspects of the cryptocurrencies: Their ability to act as a store of value and as transactional mediums. We'll also take a look at some of the unique features which make them stand apart.

Read more