In 2022, cryptocurrencies have experienced a meteoric decline in value, mirroring the situation on the stock market. What stands behind such a drastic change? And what crypto traders and investors should expect in the near future?
With Volodymyr Nosov, CEO of the Kharkiv-based company WhiteBIT, we are here to answer your questions and shed light on the situation the crypto industry finds itself in. Keep reading to learn everything you need about the current state of affairs from the true pro.
What is happening in the crypto world now?
“Cryptocurrencies are highly volatile digital assets, especially lately”, – shared the CEO of WhiteBIT. “Many crypto mining regions in China are dramatically decreasing operations. The war in Ukraine has also contributed to the crypto winter because investors tend to shun risk-sensitive assets during uncertain times. All those factors impact the market”, – added Volodymyr Nosov.
What is the market driving factors?
The cryptocurrency value can correct up to 70% within a few days. Therefore, each trader or investor has to understand why it happens and be able to predict price movements of pairs such as LTC to USD shortly. Here are some of the most critical causes that the WhiteBIT exchange founder, Volodymyr Nosov, shared with us.
The first thing to consider is the news. “The media is the most effective way to manipulate the public with information about cryptocurrency price predictions. A random piece of news can cause mass panic and fear”, – said the CEO of WhiteBIT, Nosov.
Then comes politics. “Several political situations can seriously damage the actual image of the cryptocurrency industry. For example, the news about Korea closing exchange systems took the value of crypto below the chart”, – shared the WhiteBIT founder.
“Another important reason is security problems. Hacker attacks lead to losing funds by many holders. Such events can create a chain reaction”, – told Volodymyr Nosov.
“For sure, there are many more things like the factor of fear, mutual influence, or technological progress that also have some influence on the situation. But the three aforementioned are the most prominent ones”, – the WhiteBIT founder, Volodymyr Nosov, indicates.
Is it safe to invest in crypto?
“At the WhiteBIT exchange, we take care of our users’ security. Our exchange corresponds to all the KYC and anti-money laundering requirements. Besides, to make work on WhiteBIT even safer, we recommend passing the identity verification and adding two-factor authentication as an additional layer of security.
Although, you should carefully choose a reliable exchange, as news about hackers attacks or data leaks are relatively common nowadays”, – shared the WhiteBIT company CEO.
Is it a good idea to invest in crypto right now?
“The best time for purchasing is when you’re ready for it. As I’ve already told you, digital assets are highly volatile. If you are willing to take the risk, first make sure you understand what you are investing in and develop a strategy. Remember, you should never invest more than you’re ready to lose”, – told Volodymyr Nosov.
A few words about the WhiteBIT exchange
WhiteBIT is the biggest European crypto exchange, launched in 2018 by Volodymyr Nosov in Kharkiv, Ukraine. Volodymyr Nosov is the company’s CEO.
Initially, a small Ukraine-based company allowed users to exchange digital assets. Today, it is the industry leader, and not just in Kharkiv. According to an independent Hacken audit, WhiteBIT is one of the Top 2 safest exchanges worldwide.
The WhiteBIT crypto exchange is well-known for its margin and futures trading with up to 20x leverage, a profitable referral program, the highest rate for SMART Staking, a free token for learning how to trade named Demo Token, and much more. Currently, the company that comes from Kharkiv, Ukraine, has more than 600 in-house specialists and around 3 million users worldwide.