Bitcoin together with other cryptocurrencies fell on Thursday, with Bitcoin losing 5.34 percent to $6,723.90 on the Bitfinex exchange.
Market participants are speculating that Bitcoin prices could fall as low as $4,000. Bitcoin peaked in December 2017 to $20,000 a coin, and since then has been on a steady decline after falling in February this year below $6,000.
According to coinmarketcap cryptocurrencies total market cap has fallen from $280 billion to $256 billion on Wednesday.
Jani Ziedins at Cracked Market said that until the prices fall within the $4K range, he doesn’t see the prices bouncing up.
Japan Welcomes Cryptocurrency
Japan is welcoming cryptocurrency investment hoping to become the only country throughout the world to recognize virtual currencies as a financial asset. An official at the Japanese Ministry told a local newspaper that it will be easier for everyone to use cryptocurrency as a means of payment once the regulations are clear. Currently the law requires a declaration of yen or foreign currency transactions. They are working to close loopholes by requiring foreign corporations and individuals to report transactions of over $283,000 on digital currency transactions.
Japan is hoping that the crackdown will attract more investors to Tokyo which will improve the Japanese economy capitalising on the growth.
On the Bitfinex exchange, the world’s second largest cryptocurrency by market cap, Ethereum fell 2.01 percent to $377.87. While the third largest cryptocurrency slipped 4.16 percent to $0.48495. Litecoin fell 3.09 percent to $117.56