Bitcoin price below $6000: Reaches lowest in three months, where is it headed now?

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Updated: February 6, 2018 4:27:32 PM

Bitcoin price fell to a low of $5,995.58, its lowest since mid November, according to CoinDesk, whose bitcoin price index tracks prices from four major exchanges.The substantial plunge that was recorded in the value of Bitcoin comes just six weeks after bitcoin hit a record high of $19,511.

अरुण जेटली, बिटकॉइन, डिजिटल करेंसी, भारत, भारत के वित्त मंत्री, भारत का केंद्रीय बजट, union budget 2018, digital currency, bitcoin, business news in hindiBitcoin price fell to a low of $5,995.58, its lowest since mid November, according to CoinDesk. (Image: Reuters)

Bitcoin price fell to a low of $5,995.58, its lowest since mid November, according to CoinDesk, whose bitcoin price index tracks prices from four major exchanges.The substantial plunge that was recorded in the value of Bitcoin comes just six weeks after bitcoin hit a record high of $19,511, fuelled by a flood of speculators looking to make a quick buck, with warnings it could fall another 50 percent. Incidentally, the fall in Bitcoin value follows the collapse across the mainstream stock markets all across the world.Bitcoin was trading at $6,572 at the time of reporting.

Just day back, Nouriel Roubini, the economist who predicted US housing crash in 2008, explained the recent Bitcoin crisis saying: “This (Bitcoin) is mother of all bubbles and it is also the biggest bubble in human history if you compare it to Mississippi bubble, tech bubble, and Tulip mania.” Bitcoin has crashed over 60 per cent compared to the peak of mid-December. It crashed 30 per cent last week and 10 per cent today (Saturday). It is on the way down to zero. The fundamental value of Bitcoin is zero,” Roubini said. He also said: “Bitcoin price heading south over the weekend towards a $7K handle (now down over 10% in last 24 hours to $8.2K). Will the wash traders react on Monday as they did on Friday and manipulate again the price upwards?”

The sell-off on Tuesday was exacerbated by crushing losses on world stock markets, with the Dow on Wall Street suffering its biggest one-day points loss and wiping out all its 2018 gains. Cryptomarket has been pounded by news of crackdowns by governments including in China, Russia and South Korea, one of the biggest markets for the sector.

Predicting Bitcoin’s future, Indian ace investor, Porinju Veliyath had tweeted earlier today, “Wow, Bitcoin @ $6,500! Had warned at near the peak in Dec. Bitcoin could fall 99% from current levels before it stops trading, I feel.”

Fundstrat’s Tom Lee, said in January that $9,000 is a “major low” for bitcoin and “the biggest buying opportunity in 2018.” Lee issued another report last week that maintained his $25,000 price target for bitcoin. And Kay Van-Petersen, a Saxo Bank analyst who correctly predicted the cryptocurrency’s rally at the start of 2017, told CNBC recently that bitcoin could hit between $50,000 and $100,000 this year.

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