Many concerned crypto investors are probably wondering why the price of Ethereum, Bitcoin, Ripple and others fall nearly 30% in a matter of a few hours. Fortunately there is a logical explanation as to why we are experiencing a dip today.

Why did the price of Ethereum, Bitcoin, Ripple and others fall nearly 30% today?

Price of crypto can be influenced by many factors, such as, government regulations, media, technological changes, and of course supply & demand. But what caused the price of Ethereum, Bitcoin, Ripple and others fall nearly 30% today? Media influence is likely todays culprit for the dip. It appears that Coinmarketcap.com, a site that lists the vast majority of crypto currencies and ranks them by their total market cap, silently excluded the Korean exchange price from the pricing average of the coins they list. (See Figure 1):

Figure 1 depicts Coinmarketcap.com excluding the price of exchange HitBTC (Korean exchange).

This update by Coinmarketcap.com essentially excludes the “outlier” in the prices listed by each exchange so that the average price listed is more accurate and better reflects the prices of the majority. Previously, the premium price of the Korean exchanges were being factored into Coinmarketcap’s average price, therefore giving the price the illusion of a higher value.

Conclusion:

In short, there is a logical explanation for this dip, thus there’s not much to be worried about. Coinmarketcap.com certainty could have handled this update better and notified its users prior to implementing the exclusion. Nevertheless, as the market begins to realize the driving factor for this dip, it will re-stabilize. Hopefully we at Eth Buddha have eased your minds and addressed your concerns with this price fluctuation.

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