Crypto Experts Weigh in on Plummeting Bitcoin Valuation, $89 Billion Crypto Market Loss: 'Any effort to innovate has volatility' Bitcoin fell below $30,000 for the first time since the end of June, wiping around $89 billion from the cryptocurrency market in the process.

By Entrepreneur Staff

Shutterstock

Bitcoin fell below $30,000 for the first time since the end of June, wiping around $89 billion from the cryptocurrency market in the process.

#CryptoCrash trended on Twitter Tuesday morning as traders and observers shared the news of the fall and posted memes to express the dismay that accompanied checking their personal crypto wallets.

Related: China's Bitcoin Mining Plunges: Is Its Crypto Industry Dead?

For the year, Bitcoin is up 1.87%, but it was down more than 5%. Other coins fell, too: XRP went down nearly 9%, but is up about 135% for the year.

Analysts are pointing to regulatory scrutiny as the cause of the fall, highlighting recent moves by China to crack down on bitcoin mining, which is the energy-intensive process that yields new coins.

Hossein Azari, a former senior scientist at Google and the founder of consumer decentralized finance company Cmorq, expressed no concern in a comment to Entrepreneur Tuesday morning, saying, "Any effort to innovate has volatility. Find me a low-volatility asset that has changed people's lives."

Related: How Cryptocurrency Is Changing Remittances

He said, "Bitcoin price is irrelevant to the decentralized technology that is developed, which is leading to a parallel financial system. Those on Wall Street have long limited capitalism to themselves with their rules."

Fox Business Network's Susan Li also spoke to Entrepreneur about the concerns regarding the falling valuation of the coin.

"In this computer driven trading world we live in - once we go below a certain level the trading algorithms usually kicks in to sell so there's a debate about where the next support price for bitcoin might be? Some are saying $20 thousand could be the bottom and the lower predictions for Bitcoin pricing is somewhere between $20 thousand to $27000 a coin," she explained. "Also remember that bitcoin has gone through a history of boom bust cycles. So remember when Bitcoin hit a record high of $20 thousand in December 2017 but then a few years later it went down to $2000. Multiple factors that have weighed on bitcoin prices including the China clampdown and now the Wall Street shift to safety with the spread in the Delta Variant."

Bitcoin was the world's first cryptocurrency and was created in 2009. Transactions of the decentralized, digital currency are anonymous and eliminate the need for brokers or intermediaries.

Wavy Line
Entrepreneur Staff

Entrepreneur Staff

Editor

Editor's Pick

A Father Decided to Change When He Was in Prison on His Son's Birthday. Now His Nonprofit Helps Formerly Incarcerated Applicants Land 6-Figure Jobs.
Lock
A Teen Turned His Roblox Side Hustle Into a Multimillion-Dollar Company — Now He's Working With Karlie Kloss and Elton John
Lock
3 Mundane Tasks You Should Automate to Save Your Brain for the Big Stuff
Lock
The Next Time Someone Intimidates You, Here's What You Should Do
5 Ways to Manage Your Mental Health and Regulate Your Nervous System for Sustainable Success

Related Topics

Business News

'I Am Just Floored': Woman Discovers She Won $1 Million Lottery Prize While Checking Her Email at Work

Initially, she thought the email was a scam, but went to lottery headquarters and walked away with a six-figure check after taxes.

Business News

'I've Got the Bug for Business': See All of Mark Wahlberg's Entrepreneurial Endeavors, From Marky Mark and the Funky Bunch to Wahlburgers

Mark Wahlberg owns businesses in several categories, including entertainment production, apparel, fitness, and nutrition.

Business News

South Park Creators Spent 'Infinity Dollars' Renovating Iconic Colorado Restaurant, Set to Reopen Soon

Casa Bonita, a long-time favorite of South Park creators Trey Parker and Matt Stone, went bankrupt during the pandemic. The duo purchased and painstakingly renovated the Mexican spot "like a piece of art," Stone said.

Marketing

How Public Relations Builds Trust and Credibility for Your Startup

Learn how PR strategies like media connections, brand storytelling and customer relationship management can promote and maintain a thriving business

Leadership

Are Employees Truly More Ethical in the Office? A Behavioral Economist Debunks This Deeply Rooted Belief.

Many leaders claim that employees are more ethical in the office, where they can see them — conversely, they're less ethical when working from the home office. Well, that conventional wisdom has been busted.

Science & Technology

How to Keep Employees Engaged and Productive in the Age of AI

Leaders can upskill their team members with AI skills and improve productivity through AI-powered L&D initiatives.