Russia is the third-largest country where cryptocurrencies’ are mined, just after USA and Kazakhstan. The crypto market was already in a bad position as Bitcoin’s price was wandering between 33-34 Lakhs. After today’s crash, the price has gone down to around 31.5 Lakhs.
Russia announced on 20th January that Russia’s central bank has proposed a bank on the mining and use of crypto coins. They said that cryptocurrencies are threatening the financial stability of the country. Russia gave Crypto a legal status in 2020 but banned them to be used as a payment. Following the news, all crypto coins crashed down. Ethereum crashed almost 8% and Shiba Inu crashed almost 7%.
The crash also happened as The Nasdaq was down 5% in Wall Street losses. Some people think that this is the right time to invest in cryptos while on the other hand, some think that the crypto market is taking a downturn and will crash further in the upcoming months.
Bitcoin is the heart of the crypto market as if the price of Bitcoin increases, other cryptos tend to increase their prices. Bitcoin’s prices are the biggest influencer in the market. Looking at the chart of Bitcoin it doesn’t look good as Bitcoin has fallen sharply more than 40% since November from a record high of Rs 53 lakhs.
All of the crypto investors are at a loss today. A tip that I would like to give is that do not panic selling your coins. The price will go up someday which can give you profits at least minimize your loss.