In less than half a year, the Chinese richest man was 580 billion yuan!What happened?

"People are mixed in the currency circle, and they are hungry for three days." This ridicule should be verified in the virtual currency investment circle.

Recently, the world's largest virtual currency Bitcoin has plummeted, falling below the 18,000 US dollars on June 19, and the lowest in the past two years. Although the currency value rose slightly to $ 21,000 on the 21st on the 21st, there was still a big gap with the peak value of $ 69,000 in November last year.

Some netizens said that money is faster than the water, and virtual currency is a "wisdom game" with drumming flowers. Is this really the case?

Bitcoin price trend in the past month. Data source: Investing.com

"Chinese richest man" has evaporated 580 billion yuan

"If a Bitcoin bought at the highest value of $ 69,000 now, it costs $ 49,000 (about RMB 320,000), enough to buy a Tesla Model3." Someone was amazed.

The historical losses have led to heavy losses, and some people jokingly joked that the Bitcoin rich people were "returning to poverty overnight." According to the Bloomberg billionaire index, from the "highlight time" of Bitcoin prices in November last year, to this day, seven billionaires related to cryptocurrencies have lost $ 114 billion in a total of $ 114 billion.

The most obvious "slimming" is Zhao Changpeng, the founder of Binance, the world's largest cryptocurrency exchange, who reached the world's largest cryptocurrency exchange at the end of last year. With Bitcoin's retreat, as of June 15, Zhao Changpeng had plummeted 89.3%this year and evaporated by 85.6 billion US dollars (about 580 billion yuan).

As a well -known holder of Bitcoin, Tesla also suffered serious losses in this wave. Data show that Tesla currently holds 4,3200 Bitcoin, worth $ 968 million, and has invested in Bitcoin to lose about 530 million US dollars.

What's more, Salvador, a country of legal currencies, has faced huge financial risks due to the shrinkage of Bitcoin currency. The Salvador administration has previously bought 2,301 Bitcoin.

Nayibtracker.com data shows that the total cost of Salvador's coin purchase is US $ 105 million, with an average purchase price of nearly $ 46,000/piece. According to the latest currency price ($ 20453.57), the Bitcoin held by Salvador has a floating loss of 55.45%.

Who allows cryptocurrencies to "drop the altar"?

In fact, it is not only bitcoin who experienced the plunge, but also many cryptocurrencies are not optimistic. For example, the second largest cryptocurrency, Ethereum, fell below $ 1,000 on June 18, and returned to the "three -digit" era, with a minimum of $ 880. The market value of LUNA coins with a market value of 41 billion US dollars has also been depreciated by diving, and the price has fallen from nearly 90 US dollars to less than 0.0001 US dollars.

Multi -party analysis pointed out that inflation is high and the interest rate hikes of many central banks have stimulated investors' concerns about economic recession. The demand for risk aversion in the financial market has risen, and a large amount of capital flows out of the cryptocurrency market such as Bitcoin, which has led to a sharp decline in prices recently.

What is even more worrying is that under the haze of capital exit, recently, some investors cannot withdraw funds from some cryptocurrency exchanges, resulting in panic in virtual currency liquidity.

For example, Binance suspended a few hours of Bitcoin withdrawal last week, saying that it was because some transactions were stuck; Celsius, a cryptocurrency lending giant with 1.7 million users, also claimed that due to the "extreme market conditions" All withdrawal, exchange and transfer between them.

So, is the low -free Bitcoin chance? Sam Callahan, an analyst at the Bitcoin Exchange SWAN, believes that according to the previous bear market experience, Bitcoin may fall from a historical high of more than 80%. This means that Bitcoin will fall to $ 13,800.

In addition, according to historical experience, after Bitcoin falls, a large amount of funds often enter the market to try to make a bottom, but now the flow of funds is the opposite, and these funds are now inclined to continue to evacuate the cryptocar market.

However, there are also some senior players who are looking forward to the market that can restore stable. They are still shouting. For example, Musk issued a dog coin that has always loved on the 19th, and the price of dog coins has risen by 8%. However, after the rebound, the cumulative decline in Dog Coin has still fallen by 60%since the beginning of the year.

Jackson Palmer, co -founder of Dog Coin, also recently said in an interview that the bottom of the cryptocurrency "card house" has "began to collapse."

Is Bitcoin a "silly" game?

Bitcoin suddenly plummeted this round of the underlying logic of its running.

Cryptocurrency's "number one opponent" Buffett once said that Bitcoin is not a productive asset and will not produce anything tangible. The encrypted digital asset market that exists in the virtual world is often weak when facing the crisis, and any negative event will be amplified.

Buffett also said straightforwardly that even if the total price of all Bitcoin in the world only costs $ 25, he will not buy it.

On June 14, Microsoft founder Bill Gates attended the event that the cryptocurrency project was based on the "Greater Fool Theory" scam. That is, as long as a more silly person is found to take over the assets of investors, even if the asset is worthless garbage, investors can make money.

Needless to say, most Bitcoin players have the idea of making money when entering the venue. After all, there are too many "rich" myths in this field.However, the plunge of Bitcoin once again shows the potential risk of the virtual world again.The Chinese government has clearly banned cryptocurrency trading activities led by Bitcoin.In July 2021, the central bank issued an announcement saying that consumers should strengthen their awareness of risk, do not participate in the speculation of virtual currency transactions, do not blindly follow the scenery of virtual currencies, and beware of the damage to personal property and rights.

- END -