Bitcoin, and indeed the crypto market as-a-whole, has taken another big hit after starting the week off in a relatively stable manner, generally speaking.
One BTC is currently trading at $7,731.90, on Tuesday, 5pm, ET – down 5.20 percent since this time yesterday.
The coin currently boasts a market cap of $132,853,343,585, which reflects a 48.1% market share.
Most of the top ten cryptocurrency’s, ranked by market capitalization, are down by around five percent or more in 24 hours.
At time of writing, Cardano suffered the most, having dropped a substantial 7.2 percent – one Cardano (ADA) token is currently trading at $0.142733, according to CoinMarketCap.
See below for a screenshot of the top ten, as it stands at time of writing:
Thanks to Bitcoin’s massive market dominance, when it falls, other coins tend to follow suit.
Unfortunately for some of the other big coins, such as Ripple (XRP), Ethereum (ETH), and Bitcoin Cash (BCH), which have experienced sharp corrections, they, unlike BTC, haven’t enjoyed recent bullish runs to cushion the fall, so to speak.
Although Bitcoin hasn’t experienced anything the kind of gains it achieved during the tail-end of 2017 of late, it did, over the past month or so, surge from around $6,000 (where it was stuck for some time), to over $8,000.
However, Bitcoin seems bearish once again, routinely struggling to keep its head above the $8,000 psychological watermark.
So, why the bearish trend? Well, as with any market correction, it’s hard to pinpoint a root cause...
However, a Forbes article today highlighted an announcement made in South Korea as one possible reason for the dip.
Basically, South Korea, which thanks to its massive volumes of crypto trading has emerged as one of the most influential markets for BTC and other coins, are considering ending the tax benefits that crypto exchanges currently enjoy.
Authorities were cited as saying “cryptocurrency transaction brokerage is not effective in generating added value.”
Hong Seong-ki, head of ‘South Services Commission’, the country's cryptocurrency response team, said: "While crypto markets have seen rapid growth, such trading platforms don’t seem to be well-enough prepared in terms of security."
He added: "We’re trying to legislate the most urgent and important things first, aiming for money-laundering prevention and investor protection. The bill should be passed as soon as possible."
South Korea, Japan, and China are becoming major players in the crypto-sphere; however, like many other countries, they are still having serious trouble effectively regulating and securing the rapidly growing market.