Reasons for the decline of digital currency
What's more, investment enthusiasm is declining, value logic is collapsing, realistic pressure, and there is no future possibility.. In any case, this thing is doomed to die out. Now it depends on how long it can still bounce. It is generally downward, but there are still some ups and downs.
(1) the long-term investment of digital currency is a kind of high-risk investment
digital currency investment is faced with policy uncertainty, technology risk, competition risk and other risks. For example, the policy changes of digital currency supervision in various countries, the possible cracking of consensus mechanism, and the risk of competition and substitution of other decentralization and legal digital currency. These risks determine that digital currency investment is still a high-risk investment in the long run
(2) there are many uncertain factors affecting the short-term investment of digital currency
in the short term, the price of digital currency is affected by more technical, news and fundamental factors that affect short-term supply and demand, and the price fluctuates greatly, with strong uncertainty and unpredictability.
The sharp drop in the price of bitcoin will affect the stock market, and the funds that buy bitcoin and the blocks related to blockchain will fall e to the sharp drop in the price of bitcoin
with the continuous development of science and technology and the emergence of emerging instries, bitcoin, as an emerging instry, has attracted the attention of many people. Bitcoin has increased tens of thousands of times in more than ten years, which makes many people feel incredible. Bitcoin has also become a symbol of wealth in everyone's mind. The sharp drop in the price of bitcoin will have an impact on the stock market, especially on the bitcoin funds and blockchain technology, which are closely related to bitcoin. The sharp drop in bitcoin will also cause investors' losses
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