The cryptocurrency market experienced a period of tumble after the largest recent memory sale.

Bitcoin plunged below $ 7,000 the first time since November marking a complete reversal of value that marked the beginning of a phenomenal bull up to $ 20,000.

But after positive statements from the Securities and Exchange Commission (SEC) and Commodities Futures Trading Commission on Tuesday, the markets had a complete turnaround.

In the space of one week, the global cryptocurrency market capitalization (according to Coinmarketcap data) had dropped to $ 276.8 billion, losing more than $ 100 billion in value. this deadline before seeing the gains of more than 100 billion dollars today.

Last week was marked by panic in the crypto market, no doubt late investors piling money on the markets

While the regulatory measures taken by governments and banks around the world caused uncertainty, people strove to sell in order to minimize losses

On paper, seemed bad. But the decline in cryptocurrency paradoxically eclipsed a much larger stock market over the past week.

Crypto crushing the collapse of the massive stock market

Coinciding with the massive correction that takes place in the world of cryptocurrency, the global stock market was also hit by a massive collapse

According to Reuters, last week saw more than $ 4 billion in stock market value were wiped out.

Take a moment to reflect on this number. Global stock markets lost nearly 15 times the total market capitalization of cryptocurrency in the space of seven days.

The sale of cryptocurrency, which has lost $ 200 billion in the past two weeks, should not be taken lightly, but the magnitude of the liquidation that affects the stock markets traditional reminds us that cryptocurrencies have a long way to go in the grand scheme of things.

The global stock market crash is attributed to high bond yields in the United States for 2017, which has fears of impending interest rate hikes and inflation.

Clarity Through FUD

A number of factors have influenced cryptocurrency correction in the last two weeks. A number of large banks have banned the use of credit cards to buy cryptocurrencies, which has naturally pushed many of these buyers out of the market to consolidate their losses.

Associated with a total repression of China and misleading interpretations of the Indian government's position on cryptocurrencies made markets very uncomfortable. This led to a spiral of sales, which seems to be cooling down a bit late on Tuesday, February 6th.

24 hours later, cryptocurrencies have recovered in all areas. The SEC and CFTC can congratulate them for their positive comments on the future of cryptocurrencies.

Following the market upturn, industry experts have now presented new optimistic peak forecasts in 2018.