Why Is Bitcoin Dropping and Will Next Week's Consensus Event In New York City Turn It Around?

According to Tom Lee, Head of Research at Fundstrat, the intrinsic weakness of currencies like Bitcoin lies in the fact that investors have to keep selling their virtual holdings in order to "Raise cash to pay for their 2017 gains."

While it's impossible to predict exactly why this past week's crypto drop occurred, some have attributed it to the comments made by business magnates Warren Buffett and Charlie Munger at the annual Berkshire Hathaway shareholder meeting, where they criticized Bitcoin and other virtual assets - likening them to "Rat poison."

In the midst of this latest price drop, Lee believes that the upcoming Consensus 2018 Conference - scheduled to take place in New York City between May 14 - 16 - will help the crypto sector rebound and once again display strong bullish signs.

Another reason for the Bitcoin dip may have been caused by the recent police raid of Upbit, South Korea's largest cryptocurrency exchange by volume, by the nation's Financial Supervisory Commission.

Tokyo Whales Ready to Dump BTC. Similarly, it is being reported that a Mt. Gox trustee is positioning to liquidate 8,200 Bitcoins to pay off previous investors from the 2014 hack that bankrupted the world's largest Bitcoin exchange at the time.

While seeing such a large amount of BTC moving has alarmed crypto investors, besides having a physiological effect, this move should not have any major impact on the value of Bitcoin in the long-term.

Consensus 2018, a three-day conference dealing with all matters related to crypto and blockchain, starts on Monday of next week.

2,750 last yr, 3x increase hence, crypto market expected to see large moves next week and in 2017, alts rose sharply https://t.

Co/mj7WArjy1P. - Thomas Lee May 9, 2018.2015 Conference Attendees: 400.2016 Conference Attendees: 1,400.2017 Conference Attendees: 2,700.2018 Conference Attendees: 7,000.Looking Ahead. Tom Lee of Fundstrat is a long-time Bitcoin proponent and believes that post-Consensus 2018, the crypto market can expect to see some major financial action.

With this year's edition of Consensus expecting its largest-ever audience of 7000+ attendees, Lee believes the crypto sector is primed to move even higher and break new ground.