Cryptocurrency Market Collapse: Ethereum and Bitcoin Face Heavy Losses

While cryptocurrencies are primarily defined as a method of payment and most cryptocurrency believers are keen on adoption more than in other things, there is another important face of cryptocurrencies. The trading market that treats every cryptocurrency as an asset that can gain or lose value depending on the market stance is also an important part of the cryptocurrency community, and trading is very common between cryptocurrency users. And just today the market experienced a kind of crash that took the most important coins, like Ethereum and Bitcoin to face heavy losses, some even dumped double-digit percentages.
According to Coinmarketcap, the leading site that aggregates prices from the most important exchanges, the market contracted more than thirty billion dollars in just hours. This caused that all altcoins, all the cryptocurrencies beside bitcoin suffered heavy losses, like Nano that dumped a third of its value in just half a day.
Bitcoin, the beacon of the market also suffered massive losses dropping from $6000, a natural support level that was overcome easily. Big selloffs and a bearish sense of the market impulsed these big drops. Ethereum market price also took a beating, reaching sub $270 levels and carrying it to historical lows.
While everyone is facing heavy losses and trying to find out what was the reason for this massive drop in the market, the truth is that no one knows why this phenomenon took place. While it is true that there have been negative news in the side of trading for cryptocurrencies, namely the negative from the USA Securities and Exchange Commission to greenlight cryptocurrency-based ETFs (Exchange Traded Funds, a kind of assets that you can bet on based on the price of one or many cryptocurrencies), this news is already old and it is unlikely to have caused this disastrous drop that is already causing massive selloffs of many investors.
This behavior evidences the volatility of this incumbent market and the dangers of investing in cryptocurrency markets without having prepared first for this kind of reactions.

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