Posted October 08, 2018 03:00:59The crash that hit cryptocurrencies like Bitcoin, Ethereum and Litecoin in 2018 will be like the crash that struck traditional currencies like gold, silver and copper, experts warn.
They say there is a certain logic to the crash of the bitcoin and Ethereum currencies that has yet to be explained.
Bitcoin, for example, went into a correction after its value plunged from a high of $13,000 in January, but the crash is not expected to be that severe.
In contrast, gold, which was one of the main cryptocurrencies to rise during the bull market, is set to be crushed this year.
Cryptocurrencies are still volatile and the crash will be similar to what happened to traditional currencies, according to Mark Blyth, chief investment officer at Fidelity Investments.
He says the crash in cryptocurrency will be much more like a crash to the gold standard that occurred after the collapse of the gold market in 1929.
“It’s going to be the equivalent of a Gold Standard collapse,” he told Reuters.
The crash will not have the same impact on the value of cryptocurrencies as a traditional gold standard crash would have, Blyst said.
A currency crash is typically accompanied by a sharp fall in the price of the underlying asset, he said.
It’s not likely to be a sustained and sustained financial collapse.
This is the second crash for cryptocurrencies in less than a month.
In February, China’s central bank slashed the value from its currency to a record low, prompting a wave of panic selling and a sharp drop in prices.
Also in February, Chinese regulators imposed new rules for virtual currencies that would restrict the use of them.
There is a high likelihood that cryptocurrencies will remain volatile and continue to be volatile, Blysse said.
The next crash is likely to happen in 2019, Bilyth said.
“The next bubble will come out of this,” he said, predicting the market will fall into a recession and crash again.
Some experts say the next crash could be even bigger than the one that hit gold in 2016.
After the collapse, gold sank by 70% in two years, hitting a low of $2,827.50 on July 4, 2017.
China, which has been struggling with a stock market collapse, is looking to a new investment boom to boost its economy.
But the global economy is not as healthy as it once was, and the currency market has crashed twice in the past year.
The gold market has been under severe stress since November.
It is now trading at $1,818.50 a troy ounce.
The collapse in the value has led to a surge in bitcoin, which is not regulated as a currency.
It has risen by more than 80% since November, according, data from the CoinDesk.
Gold has also seen a massive spike since November last year, when it was trading at a record high of more than $1.1 million.
Despite the crash, the price has not plunged as much as bitcoin.
If the price continues to fall, it could be a good sign for gold, analysts said.
Bitcoin’s price is set at about $1 for the moment, and it will likely reach $1 million within weeks, according the CoinMarketCap website.
On Thursday, the currency surged to $1120.20, up more than 50% since December.