Well-known bitcoin (EXANTE: Bitcoin) supporter and Chief Executive of crypto investment firm Galaxy Digital Michael Novogratz says the recent bitcoin drop might be caused due to the loss of investors' confidence.
Novogratz says bitcoin was always "a confidence game."
$btc was always a confidence game. All crypto is. And it appears global confidence in just about anything has evaporated. What brings it back to $btc.
— Michael Novogratz (@novogratz) March 13, 2020
Earlier bitcoin started the day with a negative dynamic, falling below the $4000 mark. At press time, the largest crypto by market cap is trading at $5114 (-16.25%).
Meanwhile, DeFi Project MakerDAO could experience an emergency shutdown after ethereum (ETH) loses 30%.
As a result of the sharp decline in the price of the second-largest cryptocurrency by market cap, $4M of its stablecoin Dai are not backed by their underlying crypto asset. If MakerDAO eventually experiences a shutdown, 2,4 million ETHs might arrive on the market.
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