The current cryptocurrency market is too limited and primitive to be influenced by fundamental economic factors such as technological development or the adoption of currencies and innovative instruments created in the sector.
The only factor that determines the rise and fall of this market is the flow of capital in and out of exchanges.
In most cases, this inflation is artificially created by making a volume of purchases appear higher than what the market would record if left to itself, as well as in the central banks and companies make with high purchases of securities to inflate the price of actions.
Also in the cryptocurrency market, inflation is created with the repurchase of crypto, carried out by the exchanges under the direction of the same companies that issue such cryptocurrencies
The planned increase in purchasing volumes leads to the desired increase in prices and the increase in prices makes assets more desirable, triggering the bull market
The exchanges with the highest rate of inflated volumes are those that make changes from krypton to crypto, NOT those that change from fiat to crypto currency.
The latter data can be obvious, since the fiat exchanges that change fiat, such as Kraken or Coinbase, are linked to bank accounts and therefore are "with two feet in a shoe", but it is also a fact that helps us to understand the prolonged and profound decline of the current market.
Today's decline is not only due to active downward manipulations (the famous manipulations of the media or governments, etc.).
On the contrary it is due, perhaps to a greater extent, by the fact that there are no more 'upward manipulations, these manipulations were made in the exchanges that exchange only crypto with crypto.
And precisely in this period these exchanges (the largest among them) are engaged in operations of transfers of headquarters, of mergers or acquisitions and much more that obliges them, for a more or less long time, to undergo the checks of the regulatory bodies.
In any case, following the news on cryptoinvestinguide.com, you know what exchanges I mean and you can see for yourself the unique timing that sees them almost all through this phase of "cleaning" that currently prevents them from the indispensable "programmed inflation" of prices.
And in the cryptomarket there was another powerful mechanism of programmed inflation, this time linked to the ICO, which now seems to be at stake.
The delta tokens prices created in the ICOs of the past few years had helped to create very high prices that were in part independent of the real value of the issuing companies.
Consider that almost all the Nasdaq companies, with similar mechanisms, are quoted billions in more 'of their real value.
Now, however, the companies that issued the tokens are faced with the devaluation of their capital held in the form of a crypto.
They had to support the further development of their projects (the famous road maps), they have been forced to sell off many of these capitals, canceling the previously created inflation.
So, summing up, among the main reasons for this important downward phase we put the cessation of an active upward manipulation (block of programmed inflation), that is:
In my opinion, only in third place can we include the initiation of active downward manipulation mechanisms or planned deflation, carried out with various systems: the false volumes of anonymous Coinmarketcap.
In a market that has seen capital fall dramatically, futures linked to the crypts, although limited in relation to total capital, can have an impact. threats of closing accounts or checking the accounts by the exchanges that change from fiat to crypto diffusion of negative news by specialized media legislative confusion created by the American regulators application restrictive application of rules by Japanese and Korean regulatory bodies weakness geopolitics of pro-crypto countries, such as Europe and Switzerland Is there a single direction in this series of events that all lead to active, planned deflation? Difficult to say.
The cryptocurrencies are perhaps only a side element of this cold anti-Russian war that pushes the American Deep State to assume the ultimate control of the social, after having exhausted them with slanderous campaigns and congressional inquiries. Because? Because until last year, many projects in the blockchain were European and had many Russians or Slavs in their staff. Even now, looking around on ICO sites, you can find them in large quantities. This is a very complex and difficult to monitor trend, but it could be linked to a long-term competition whose objective is to control capital flows linked to crypto in the USA and Western Europe.
The argument is so important(because it could be linked to the triggering of the next cryptocurrency bull season) .
In conclusion, this long decline of cryptocurrencies is not due to a conspiracy, but to a series of economic, political and social factors, both internal and external to this market, as well as a combination of rather banal circumstances that limit the programmed inflation.
Cryptoinvestinguide will keep you updated
