Bloomberg is citing a sell-off of Bitcoin, Ether, and dozens of smaller digital tokens. The “crypto exodus” is happening due to a “sense of panic” hitting crypto investors. It’s been a brutal August for Bitcoin and Ether, with Bitcoin touching below $6,000.
“The big story in the market today is the huge weakness in Ethereum,” Timothy Tam, chief executive officer of CoinFi said in a phone interview — “Bitcoin has held up relatively well versus Ethereum. It’s still quite weak versus the U.S. dollar.”
While cryptocurrencies rallied in July on hopes that a Bitcoin-backed exchange-traded fund would attract new investors, U.S. regulators have yet to sign off on multiple proposals for such a product. The letdown has coincided with growing concern that entrepreneurs who raised crypto-denominated funds via initial coin offerings (ICO) are now cashing out of holdings such as Ether, the token for the Ethereum blockchain that is a popular platform for crypto projects.
What do you think? Are you selling, buying, or holding?