Published: Fri, August 10, 2018
Business | By Tara Barton

Crypto Market Hits Its Lowest for 2018

Crypto Market Hits Its Lowest for 2018

Additionally, the firm will offer institutional investors a physically-settled bitcoin futures product, providing them with access to a regulated cryptocurrency custodian.

Furthermore, citing the SEC's "concerns regarding bitcoin ETFs and retail investors", the presentation notes that "the initial share price will be set at a level created to ensure that only institutional and "non-retail" investors will be able to purchase shares", which is a price per share of $203,750 as of July 30.

Basically, the organization is holding off on any action regarding a bitcoin ETF proposal from VanEck SolidX Bitcoin Trust.

The ramifications of the SEC delaying a decision that would help cryptocurrency are felt for a second day, as prices tumble...

The fact that Bitcoin's dominance in the cryptocurrency market is now up to 48.8% also spells bad news for the market as it indicates that investors are pulling out of altcoins and into Bitcoin, after which they could be converting their funds into fiat currencies.

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There was a sigh of relief when bitcoin did not immediately react to the announcement by the SEC to delay their decision on approving the CBOE ETF proposal but, this was short-leaved, since a couple of hours later the price plunged by around 7%. What we know, from the Winklevoss ruling, is that the SEC still sees a market that is not mature and with large issues to solve before it can safely be traded as an ETF.

According to CoinMarketCap, Bitcoin (BTC) is now trading at $6,509.67, down -8.50% in 24 hours. The market has since lost almost $40 billion in less than a week with bitcoin threatening to go below the key psychological level of $6000. Its market capitalization is $112 billion dollars.

In the top 10 market cap coins, Ripple's XRP registered the biggest drop falling more than 14%.

What this means is that if VanEck-SolidX is attacked by hackers after SEC approves their ETF, then any loss suffered during the incident will be shouldered by the company while the investors' assets are insured.

There are still some analysts who are spinning the news optimistically, however. Perhaps the regulatory body, in an effort to not too fast, just wants more time to analyze. At this level, Bitcoin's total circulation was worth US$112bn. As we already reported, the final decision date of the VanEck Bitcoin ETF has been postponed to 30.09.2018.

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