It has been a tough first quarter of 2018 for Bitcoin. Recently, the price was at its lowest mark since early February. And since the peak in December of around 20,000 dollars, the Bitcoin price has fallen by as much as 70 percent.
In fact, the decline this year is the biggest quarterly decline since 2011.
What is the reason for this?
The reason why the price of Bitcoin has fallen has been reported to be because of increased risk of regulation, and the fact that several major social media giants like Facebook, Twitter and Google have announced that they will ban ads for cryptocurrencies. This is something that Trijo News has reported earlier.
At the same time, there has been a considerable selling pressure as the trustee of Mt. Gox has begun to sell off large amounts to reimburse those who lost Bitcoins when the Japanese crypto exchange collapsed in 2014. It has been reported that the trustee has sold Bitcoins and Bitcoin Cash for around $400 million in the last few months, according to Bloomberg.
Many in the crypto space say the dark headlines are FUD (an abbreviation for fear, uncertainty, and doubt). It is believed that the news that is reported is unnecessarily alarmist and risks denigrate the good reputation that Bitcoin and the technology behind it have gained during the past year.
Therefore, it may be an idea to keep in mind that the price of Bitcoin is still a lot higher compared to a year ago.
Thousands of percent rise
At the beginning of April 2017, the price of a Bitcoin was just over $1,100. Today the price is $7,000. This is an increase of about 536 percent in just one year.
The same applies to the second largest cryptocurrency, Ether. On April 2, 2017, Ether stood at $50. Today, the price is around $400, an increase of 700 percent.
Actually, there are plus figures across the board if you look at how the biggest cryptocurrencies have done in the past year:
Litecoin: +1 628 percent
Ripple: +1 462 percent
Monero: +752 percent
Dash: +332 percent
So, if you bought one or some of the largest cryptocurrencies one year ago, the annual return is still very, very good.
