Cryptocurrencies market capitalization is tumbling down after making all-time high. In January the total market capitalization of cryptos was $800 billion. In just a single year market cap of cryptocurrencies rose 1600% but now the situation is quite opposite. The crypto bubble has burst and loses almost 80% of its value. After reaching an all-time high of $800 billion now the total market cap of cryptos is below $200 billion. Numerous economics and finance experts have predicted the collapse of the speculative bubble of cryptocurrencies. Because of the long bearish period crypto enthusiasts and investors are in turmoil. There is confusion, where the market will head in the future.
To resolve this confusion, recently Express.uk and Amani Hughes conducted a survey of cryptocurrency experts on how low the overall market capitalization may sink. Different experts have different opinions such as
According to the co-founder of CryptoCurrencySimplified, Eric Stanford cryptos have already touched the bottom and it is quite impossible that the digital assets will drop any further. Bitcoin is going down since January. There is a strong support at $5800 which is quite difficult to break. Whenever bitcoin has gone below $6,000 it has recovered. Because of the selling pressure of individual and institutional investors bitcoin has gone down but now there is no selling pressure so there are fewer chances that bitcoin will fall below $6,000 level.
Kevin Murcko, Chief executive officer of crypto exchange coinMetro believes that the price of the bitcoin depends on the cost of bitcoin mining. The leaders of the bitcoin mining determine how much the price of bitcoin can drop. Right now bitcoin mining is profitable and it will remain profitable until the bitcoin price will reach to $3000 per bitcoin so this price can be considered as the approximate market bottom.
In the survey, the chief executive officer of Digital Securities Exchange, Mike Rymanov has told that the market had a negative impact because of some scams and rumours but it has recovered. He is expecting more tightly regulated digital asset market in future. Mike believes currently the crypto market is in an optimistic condition and crypto enthusiasts must consider these levels as bottoms because it is less likely that the market will fall below this level.