Bitcoin dropped more than 13% on Saturday (18), reaching $17,593. It was the first time he had traded below $20,000 since December 2020.
This Sunday (19), the cryptocurrency remains below US$ 20,000, trading around US$ 19,600 until 7:30 am (Brasilia time).
The digital currency industry has suffered this week after cryptocurrency lending company Celsius froze withdrawals and transfers between accounts, while other cryptocurrency operators began laying off employees.
This move in crypto coincides with a US market slump, as US stocks suffered their biggest weekly percentage decline in two years on fears of rising interest rates and the increasing likelihood of a recession.
The rapid pace and depth of Bitcoin’s losses coupled with the slump in US stocks could be a problem for cryptocurrency support from various groups of investors.
To date, the world’s top cryptocurrency has lost around 60% of its value this year, while rival Ethereum has dropped 74%. In 2021, Bitcoin peaked at over $68,000.
*With information from Reuters
Source: CNN Brasil
