China has been known as the country with the highest hash rate in Bitcoin mining and this can be seen when there was a huge fall in the price of Bitcoin within a day due to an incident that happened in a coal mine firm in Xinjiang which leads to a reduction in mining hash rate. Earlier this week, a notice from the Sichuan hydropower body has warned households and enterprises to limit their power consumption. This has affected the hash rate of Bitcoin as the miners in Sichuan have reduced their mining rate due to the notice.
Elon Musk within the period Bitcoin was trying to survive the fall in price coming as a result of a reduction in mining hash rate from the Chinese miners, made a tweet that Bitcoin mining is not environmentally friendly and that Tesla cars won't be available for purchase using Bitcoin. This news caused a panic fear for investors as there is the possibility of Ban on Cryptocurrency mining by firms and the aftermath of a dip in Bitcoin price. Many people started to sell because they fear that Bitcoin will collapse as seen in the 2017 to 2018 events.
Thirdly, investors have continuously witnessed a dip in the crypto market for consecutive days, many investors are selling off their Bitcoin and other altcoins immediately there is a slight rise in the price of coins. This has made it difficult for the market to survive as fewer investors are buying the dip.
At a point like this, newbies are confused on what to do, the whales are observing the market without many actions. In your opinion and based on your experience with the crypto world, what are your suggestions, do you believe that holdl will pay off in the end or is it advise for investors who are not confident in the market to cut out their loss?
I will be glad to read your opinion below. Thanks for stopping by.