Both the Ripple price and Bitcoin price have plummeted this week, which has investors worried that these currencies may never bounce back.
The Ripple price and Bitcoin price saw record highs near the end of December, with many first-time investors trying to capitalize on the rapid growth and see some quick gains from these new investment opportunities. However, these same investors were in for a world of hurt just a few weeks later during the beginning of 2018 where the Bitcoin price and Ripple price crashed from their meteoric highs – causing a lot of people to lose a lot of money.
For those who have been following the trajectory of cryptocurrency for several years, these sorts of rises and crashes are par for the course. Due to how cryptocurrencies are designed, we’ve seen some major highs and some major lows because of the value being determined via speculation. With no real-world entity to tie the value to such as we’ve seen with traditional stocks, the Ripple price and Bitcoin price has fluctuated majorly based on rumors and regulation.
And it’s regulation that may pose a problem for the Ripple price and Bitcoin price. What started as a niche investment opportunity for techies years ago has since ballooned into an industry with a market cap in the hundreds of billions. With such a massive amount of money being moved, the traditional financial industry is no longer able to ignore the influence of the Bitcoin price and Ripple price over the world of finances as a whole.
Part of the appeal of currencies like Ripple and Bitcoin is the accessibility it offers to investors. While stocks are technically accessible to most anyone, the barrier to entry for taking a gamble on the Ripple price or the Bitcoin price is far lower. Just by downloading an app and putting in some financial information, anyone can take up the opportunity to see major gains or losses with these volatile investments. Many people have lost a lot of money due to a lack of information or an excess of hype regarding Bitcoin price or Ripple price, and regulators are taking steps to protect constituents as well as the financial industry at large.