Recently, a piece of news that “cryptocurrencies have crashed and European and American stock markets have plummeted across the board” has aroused heated discussions among netizens and caused a stir on the Internet.

So, what exactly caused the cryptocurrency to crash?

What caused the earthquake?

First, because global virtual currency investors have begun to become more cautious about virtual currencies, the virtual currency bubble may have begun to burst.

Second, the country has begun to intensify its efforts to crack down on virtual currency speculation. Banks have begun to prohibit the conversion of RMB and Tether, and their accounts will be blocked.

and prohibiting people from using virtual currencies for transactions.

Third, from a technical perspective, Bitcoin has been rising for a very long time, and there is a lot of profit taking at the bottom.

So what is the specific situation?

Let me share my opinion with you.

1. People’s attitude towards virtual currencies has become cautious. First of all, people’s attitude towards virtual currencies has become cautious.

Because both the government and stock gods like Buffett deny investment in virtual currencies and do not recognize such financial products created out of thin air.

As a result, people began to have a cautious attitude towards virtual currencies. The amount of purchases decreased and the amount of sales increased.

2. China began to suppress virtual currencies. Secondly, China began to release a series of combined punches to combat the speculation of virtual currencies.

First, the three major associations joined forces to boycott virtual currencies and banned exchanges between Tether and RMB.

At the same time, it is also prohibited to use virtual currency to trade goods, etc.

3. Technical level: On a technical level, Bitcoin has been rising for a long time, and the profit margin is relatively generous.

It fluctuated at the top for a long time, but seemed unable to rise, so as the policy broke out, it also went short together.

The above are my opinions on this issue. They are purely personal opinions and are for reference only.

If you have any different opinions, you can leave a message in the comment area and let’s discuss it together.