0
$\begingroup$

There's a big crypto crash happening lately, which basically affects almost every crypto currency.

Which are the likely reasons something like this could be happening?

$\endgroup$
1
  • $\begingroup$ Likely reason: crypto is worthless and the market is correcting down closer to its actual value $\endgroup$ Commented May 13, 2022 at 8:30

1 Answer 1

-1
$\begingroup$

At this point, most investors in cryptocurrencies aren't idealistic, early-adopters of blockchain; they're traditional investors and institutions that have simply added crypto as part of their larger portfolio. These firms buy and sell crypto assets almost in tandem with large tech stocks. So we're now seeing the crypto market virtually mirror the tech-dominated NASDAQ exchange. Over the past few months, price movements of Bitcoin and the NASDAQ composite have had a positive correlation of 0.82. So it is really "digital gold"?

$\endgroup$

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service and acknowledge you have read our privacy policy.

Not the answer you're looking for? Browse other questions tagged or ask your own question.