Ethereum Sees New Records, Bitcoin and Ripple Tumble
The cryptocurrency market has long been a source of frantic ups and downs. The leader in the market, bitcoin, went from a currency where 10,000 of them bought two pizzas to where 10,000 pizzas might buy two bitcoin, depending on the size of the pizzas. Throw in all the other cryptocurrencies out there and the potential for instability skyrockets. Recent news out of the cryptocurrency market has demonstrated, thoroughly, just how unstable things really are.
On the good news, Ethereum holders found huge gains as the commonly-considered silver to bitcoin’s gold saw record highs. There was bad news aplenty, however, as both bitcoin and the up-and-coming coin Ripple took hits. Ripple dropped to as low as $1.61, and bitcoin fell to $13,718. Both recovered in following trading, however, as Ripple went back to $2.01 as of this writing and bitcoin did likewise to $14,537.
Trading on Monday actually saw Ethereum regain its status as the second most valuable cryptocurrency in terms of market value; Ripple’s rapid gains gave it the second-place slot for a while, but now, the positions have traded, and Ripple is back down to third. Bitcoin, however, remains top of the heap by almost a two to one margin at last report.
The news hasn’t been great for cryptocurrencies all around. South Korean banks were reportedly planning investigations of six local banks that offered virtual currency accounts, and word out of China said the government was urging bitcoin miners to plan an “orderly exit” from the country. These points together got more than a few people interested in selling off and taking profits accordingly.
One of the great abiding principles of the cryptocurrency market is HODL, an acronym for Hang On for Dear Life. Since it also looks like a hurried misspelling of “hold”, it does double duty in reinforcing its own message. Essentially, ups and downs will come in the cryptocurrency market, but those who hold on through the rough stuff are likely to see gains at the end.
With some projecting that bitcoin could yet reach the million-dollar mark, the notion of HODL takes on a new life. No matter whether you take profit or HODL, just remember to never risk more than you can afford to lose.