The price of Bitcoin has gradually dropped. The low point occurred on Wednesday (11/21/2018), where the price of bitcoin fell 25 percent in a week. If measured from the lows of December last year to the present, the price of Bitcoin fell 75 percent.

1. Unregulated Infrastructure and Exchange Rate Most of the cryptocurrency trade takes place outside the United States, where such exchanges lack supervision from the well-known US regulatory body that is very strict. That gives space for investors to store shares freely, even though the danger is clearly apparent.


2. Regulatory Actions One of the things that boosts the value of Bitcoin et al is the activity of the Initial Coin Offering, similar to the IPO that many companies do to seek funding. ICO also allows startups to get funds, but without involving regulators. This attracted the attention of the Securities and Exchange Commission, which considered that the ICO would violate several applicable securities rules.

3. Organized by the Community, not the Government Because it is separated from the government, cryptocurrency is regulated by the community of developers, which means that it will be more vulnerable to weakening. Given its history, one of the biggest cryptocurencies, Bitcoin was created in January 2009. For years, members of the Bitcoin community worked together to improve software. Gradually, the cooperation faded. After a long debate, one group released a new version of Bitcoin software.

4. Unreal Solutions The creators of Bitcoin have a vision that Bitcoin can facilitate instant payment transactions across countries, without having to spin about the exchange rates of different countries' currencies. One of the other big cryptocurencies is Ethereum. Ethereum, until now still trying to create a global super computer.

5. Government Interference So far, the government in many countries seems to be the opposition to cryptocurrency.