The Downturn of ICO in 2018 Lead to the Plummet of ETH Price?

ETH price reached the histrical high of about $1,343 in early January 2018, and today it fell by 80% to $276. Although it once has dropped to about $ 370 in April this year, the price of less than $300 now has caused many people to lose confidence in it.

 

As for the reasons why ETH dropped dramaticaaly this time, many people in the cryptocurrency community expressed their views. And some of them believe that the main reason is the overall environment of the market is not so good.

 

We know that Ethereum issued the tokens first. and then the market swarmed in. At the end of last year, ICO was booming, and ETH be the rigid demand. After all, launching projects and fundraising are all need to be completed on Ethereum platform.

 

This year, however, ICO’s market data over the past seven months has been disappointing. So some people speculate that the explosion of ICO last year led to the collapse of this field, because there are so many ICO failure cases, and even more fraud scams. While, the statistics are in stark contrast to the above arguments.

 

For ICO, the circulation in 2018 is much larger than in 2017, with March 2018 being the most successful month for ICO. Data from the past seven months show that while many people think that ICO products are a scam, they can continue to raise huge amounts of money. In addition, the number of ICO projects launched each month is fairly stable and even shows a growth trend.

 

In January 2018, 254 projects raised a total of $1.83 billion. So far, the funds raised through ICO has increased significantly in 2018. In addition, the data also shows that the number of ICO projects has also increased compared to 2017. In 2017, a total of 1,069 ICO projects were launched. However, in the first half of 2018 alone, 2,131 projects raised $12.8 billion in funding.

 

Therfore, based on the above data, the development of ICO in 2018 will never be the main reason for the sudden drop in ETH prices recently. I personally worry that this is a panic selling of large households or institutions, thus affecting the stability of the entire market. So It is necessary to pay attention to ethereum trading information in the market, and maybe the ethereum news on sicial media can give you some valuable information.