Last Updated: 20th July, 2021 18:37 IST
The crypto price crash saw the value of Bitcoin decline to 5% from an all-time high of $64000. Many investors are viewing this as a part of the crypto game.
The recent crypto price crash saw stakes on Bitcoin dip as low as $29,548. This resulted in a 5% decline from an all-time high of $64000 in mid-April. Bitcoin has been locked in the broad price range of $30,000 to $40,000 since mid-May. It briefly broke below the $30,000 mark in June.
Bitcoin has been locked in the broad price range of $30,000 to $40,000 since mid-May. The drop highlighted the volatility of cryptocurrency in a time when more and more people are starting to get interested in investing in it. Many investors are viewing this Bitcoin price swing as part of the game of the crypto market.
About the recent crash
Bitcoin’s price dropped under $30,000 per bitcoin level as smaller cryptocurrencies including Ethereum, Binance’s BNB, Cardano, Ripple’s XRP. However, meme-based dogecoin recorded double-digit percentage losses, wiping away $200 billion in value over the last week. Ethereum rivals BNB and Cardano led the market lower with a more than 10% sell-off. While Ethereum itself was around 8% lower. Ripple’s XRP, currently in the midst of a legal battle with the SEC, was some 10% lower, with Tesla billionaire Elon Musk’s pet project dogecoin off by 7%. The bitcoin price was down by just over 6%, adding to losses of 10% this past week.
Is it Crypto Winter yet? Volatility of Bitcoin
The Bitcoin market has received a string of blows to the cryptocurrency market that began with China’s latest crackdown on the crypto miners who secure cryptocurrency blockchains with high powered computers in return for freshly minted tokens. Since then, a major crypto exchange, Binance has seen a wave of pressure from regulators around the world, with many warning against investors using the platform. The price crash also follows thought from investors, warning that Bitcoin could be in the middle of a bear market and that the broader space is entering a period knows as ‘crypto winter’. The exact reason for the collapse is unclear but it coincides with a similar downturn in the global market. These come amid concerns that the resurgence of COVID-19 could stall the economy.
Image Credits – Unsplash
First Published: 20th July, 2021 18:37 IST