After a good week for bitcoin and other cryptocurrencies which traders were calling a ‘Santa Rally’ has gone in vein with Bitcoin crashing to $3720 from over $4000 in just an hour after the news of Bitmain, the cryptocurrency mining giant firing all their employees came out. Right on the Christmas eve, the cryptocurrency market has crashed down with bitcoin falling down over 10% and bitcoin cash over 25% in just an hour of time. EOS is back over Bitcoin Cash again (according to market capitalization). Now all top cryptocurrencies are in the red zone.
The rumor which flashed in the crypto space about Bitmain firing its Bitcoin Cash development team has contributed to the bear market trend. Samson Mow tweeted recently about Bitmain laying off their entire Copernicus Team with just a week of notice:
Bitmain has quietly laid off their entire Copernicus team (#Bcash GO client). Only 1 week notice. Some had just joined the company. Layoffs just in time for Christmas. #BitmainIPO @HKEXGroup @SCMPNews pic.twitter.com/Kt2Ce90sBW
— Samson Mow (@Excellion) December 23, 2018
Miners going broke
Due to the recent market crash, Bitcoin miners all around the world have been facing massive amounts of losses as some of these are not even being able to cover up their expenses in the bearish trend and as such had to completely shut down their operations. Bitmain which is one of the largest ASIC manufacturing companies based in China had to fire all its employees who worked on the development of Bitcoin Cash.
A youtube video by Digital Gold shows how terrified the miners are due to the current market situation: