#AICrashOrComeback The collapse of the digital currency market is due to several factors, most notably strict regulatory decisions by governments, such as banning trading or imposing severe taxes. In addition, fluctuations in the global economy, such as rising interest rates by central banks, lead investors to avoid high-risk assets. Fraud, cyber attacks, and the collapse of major trading platforms also negatively affect investor confidence. Also, massive sales by whales (large investors) lead to rapid price declines. Finally, mass panic among investors leads to successive waves of selling, which deepens losses and leads to sharp market collapses.
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