ETHEREUM prices have continued to plummet with the cryptocurrency plunging by almost 50 per cent in the last month. However, the head of mobile for a virtual currency exchange has attempted to explain why the market has experienced frequent “swings”.
Ed Cooper, from the Revolut exchange, stated that the massive spikes and troughs “are fuelled by speculation”.He stated: “The swings are fuelled by speculation rather than technological advances and so many people entered the space drawn by the price headlines only.”Mr Cooper declared that the current “market movements” are not down to any “current news story” as he attempts to calm Ethereum investors.He commented: "I don’t think the recent market movements in the crypto space are particularly related to any current news story.
Despite Ethereum values going into free fall over the last month, Mr Cooper insisted that “we are now seeing a return to more normal trading”.He remarked: “We are now seeing a return to more normal trading where the price consolidates and any increases are driven by technological advances and increased adoption rather than the news cycle.”
The dramatic fall has shaved $419.42 from the value of the cryptocurrency in the last month.The head of mobile at Revolut continued to explain the drastic drop - he stated that similar cycles have occurred in past trading periods.Mr Cooper declared: “This same cycle of hype and then a return to normality happened in 2011, 2013, and 2017, and will doubtless happen again.”Ethereum prices peaked back in January when the cryptocurrency reached astronomical high values of $1,338.67.
The virtual money has since plunged with only a few brief price spikes offering hopes to investors.However, over the course of the last year, Ethereum has grown by a whopping 774.64 per cent.The incredible highs and lows of the cryptocurrency demonstrate the entire sphere’s extreme volatility.