Although conventional stock markets and digital currency markets do not have much in common, both suffered in 2018, and investors in both markets hope the year 2019 will be different.
Despite being a bad year with regard to prices, many analysts believe that the decline in both markets is temporary, which means that 2019 will be very profitable for investors who are frustrated by recent volatility.
The digital currency markets have declined markedly over one year
At this time in 2017, digital currency markets were in the midst of a bullish wave that raised its total market capitalization to $ 830 billion on January 7. From this point of view, the market began to decline from 2018 until 2019.
In December 2018, the market value of the digital currency market fell to $ 100 billion, which recovered slightly to its current level of $ 126 billion.
Initialization, which usually affects the performance of the market, began its first downward slide on 17 December 2017, rising to just above $ 20,000 before its bullish momentum stopped and sharply falling to $ 7,300. From this point, they were sideways for a while before going down to their current levels.
Although the low price of the start-up started in mid-December, the Bettkin markets were still enthusiastic at this time and began to decline in real terms at the beginning of January.
For example, the price of the riyal hit its highest level at $ 3.75 on January 3, as it began to decline before recovering at $ 0.60 on February 6. From here, XRP, and all the alternative digital currencies, began to track the price of the structure closely, and began to decline over a year.
Stock markets also passed a very difficult year
Although there are no global markets falling 90% like the digital currency in 2018, traditional stock markets also ended the year less positively as the US stock market recorded its worst year in a decade, driven naturally by growing trade tensions between The United States and China, the continued US government closures, rising interest rates from the Fed, and concerns about England’s exit from the European Union (Brexit).
After announcing some gains on Monday, the Dow Jones Industrial Average and the S & P 500 ended 2018 down 5.6% and 6.2%, respectively. The last time these stocks recorded annual losses, this was a large percentage in 2008 ahead of the economic crisis, falling by 33.8% and 38.5%, respectively.
Although many investors expect further losses in equity markets in 2019, John Stoltzfos, chief investment strategist at Oppenheimer, said 2019 is likely to bring positive surprises to equity investors.