Ethereum, the world’s second largest cryptocurrency by market capitalization, is in the midst of a major sell-off today. The ETH/USD pair is down over 10% on the day, and is currently trading at around $225.
This sell-off comes after a period of relative stability for Ethereum, which had been trading in a tight range between $200 and $250 over the past few weeks.
The reasons for this sudden drop are not entirely clear, but there are a few possible explanations. First, it’s possible that this sell-off is simply a continuation of the overall bearish trend in the cryptocurrency market that began in early 2018.
NOTE: WARNING: Ethereum is an open source cryptocurrency, which means that anyone can access, modify and use it. As such, it is susceptible to a number of risks, including price volatility, fraud and security breaches. Additionally, it is important to understand that Ethereum is not backed by any government or central bank and therefore may be subject to extreme price fluctuations. It is highly recommended that investors seek professional financial advice before investing in Ethereum or any other cryptocurrency.
After hitting an all-time high of nearly $1,400 in January, the total market capitalization of all cryptocurrencies has fallen by over 60%. So it’s possible that Ethereum is simply following the lead of the broader market.
Another possibility is that this sell-off is related to ongoing concerns about the scalability of Ethereum’s network. Despite numerous upgrades (including the recent implementation of sharding), many investors remain concerned about whether or not Ethereum will be able to handle increasing transaction volumes as its popularity continues to grow.
Finally, it’s also worth noting that today’s sell-off comes just days after Ethereum co-founder Vitalik Buterin suggested that the cryptocurrency community should focus more on building applications and less on speculating on price. It’s possible that some investors took this as a sign that Buterin is no longer as bullish on Ethereum’s long-term prospects as he once was, and sold off their holdings as a result.
Whatever the reason for today’s sell-off, it’s clear that Ethereum is facing some headwinds in the short-term. However, it remains one of the most popular and widely used cryptocurrencies in the world, and its long-term prospects remain bright.
9 Related Question Answers Found
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. These apps run on a custom built blockchain, an enormously powerful shared global infrastructure that can move value around and represent the ownership of property. This enables developers to create markets, store registries of debts or promises, move funds in accordance with instructions given long in the past (like a will or a futures contract) and many other things that have not been invented yet, all without a middleman or counterparty risk.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. In 2014, Ethereum founders Vitalik Buterin, Gavin Wood and Jeffrey Wilcke began work on a next-generation blockchain that had the ambitions to implement a general, fully trustless smart contract platform. The Ethereum whitepaper described a “next-generation smart contract and decentralized application platform” that would enable “users to create smart contracts and decentralized applications on their own terms”.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. Ethereum is how the Internet was supposed to work. It is a distributed network with no central authority that anyone can access.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. In the Ethereum protocol and blockchain there is a price for each operation. The general ledger of Ethereum is a decentralized database that keeps track of the balance of all accounts.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. In the Ethereum protocol and blockchain there is a price for each operation. The general ledger of Ethereum is maintained by miners who are rewarded with Ether, the native currency of Ethereum, for verifying transactions.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. These apps run on a custom built blockchain, an enormously powerful shared global infrastructure that can move value around and represent the ownership of property. This enables developers to create markets, store registries of debts or promises, move funds in accordance with instructions given long in the past (like a will or a futures contract) and many other things that have not been invented yet, all without a middleman or counterparty risk.
When it comes to cryptocurrency, Ethereum is one of the most popular names. It is a decentralized platform that runs smart contracts. These smart contracts are applications that run exactly as programmed without any possibility of fraud or third party interference.
Ethereum is a decentralized platform that runs smart contracts: applications that run exactly as programmed without any possibility of fraud or third party interference. Ethereum is used to build decentralized applications (dapps) on its platform. The most popular dapp built on Ethereum is CryptoKitties, a game that allows players to purchase, breed, and trade digital cats.
When you hear about Ethereum, you might think about the cryptocurrency. However, Ethereum is so much more than that. It’s a decentralized platform that runs smart contracts.
