Even though the beginning of November 2018 started out with a portion of gains where the first days of November were marked in rebounding for a great part of the market, November soon showed its bad side.
Even though Bitcoin Cash, for instance, collected over 50% of gains in only several days, we could soon see it plummeting down to its new low of around 360$ only two weeks later.
Bitcoin and Ethereum as well, are marked as some of the biggest victims of the latest market dip, where BTC even marked over -10% of losses in less than 24 hours at one point.
Bitcoin even went below its lowest of 5,000$ being hit by the market dip, and Ethereum dipped to touch 163$, which was marked as a new low as well.
Bitcoin Cash, Bitcoin, and Ethereum are not isolated cases as the market is dipping within a mass trend, so everyone is wondering why are cryptos dropping in November 2018?
Why Are Cryptos Dropping in November 2018: Potential Reasons Behind the Dip
Despite the fact that November started out somewhat as a promising month, the crypto market soon found itself deeply affected by the negative market trends it brought with it.
The excessive and prolonged dips especially made a strong impression around November 15th when all major cryptos started to dip towards new lows and extended drops.
Bitcoin Cash alone was losing over -30% of total gains on the weekly basis affected by the market dip, while Bitcoin and Ethereum touched all-time lows more than once.
Bitcoin is making around 53% of the cryptocurrency market, so naturally many investors are probably affected by the dip.
But what is the cause behind the dropping crypto market in November 2018?
List of All Cryptocurrencies
Price 24H (%) -0.53% -0.10% -0.96% -0.97% -1.08% 20.04% 1.20% -0.19% 0.26% 0.44% 5.40% -1.01% 2.06% 0.96% -4.73% 1.07% 15.84% 0.29% -5.71% 0.01% -2.24% 3.91% 2.25% -8.44% 0.23% 0.80% 4.56% 2.17% -5.64% 26.70%
The truth is that the entire year of 2018 wasn’t as benevolent as expected towards the overall cryptocurrency market, so we could see dips in September, May, and even June and July in some occasions.
So, what makes November dips any different from previous negative market trends is merely a fact that the crypto market had been slowly taken into the position where the slightest negative momentum could take it down to the lowest points of value.
That means that the crypto market has been continuously cut with the ever-present and prolonged dips that it only took another mass dip to bring almost an entire market, including the top trading cryptocurrencies, to the point where major dips are devaluating the price of the overall market.
However, Bitcoin Cash, for instance, seems to be dipping due to the latest hard fork that had split the chain in two.
Can the Market Recover Before the End of 2018?
It is generally a thought that not all cryptos will get to survive the frequent dips that 2018 has brought to the market.
It appears that this is a natural state of how any market should behave, especially when it comes to the fact that the majority of cryptos and ICOs are not more than a year old projects, making the market “young.”
That further implies that perhaps only the strongest cryptos with clear goals, objectives, products, and services will get to survive the dip, eventually entering a more stable market.
Although the market is more likely to recover in the following weeks, the recovery won’t be served in equal portions to all crypto assets in the market.