- Bitcoin prices down as much as 13% due to gut-wrenching week.
- The selloff happened after Chinese authorities announced restrictions on crypto.
- A broad crypto crash wiped out about $1 trillion in the market value.
Bitcoin prices fell as much as 13%, extending losses from a gut-wrenching week for cryptocurrencies. However, Bitcoin is very popular for more than 45% of the global crypto market. Yesterday, it was trading around $37,000 per coin — far off its all-time high above $66,000 just over a month ago.
At the time of writing, Bitcoin has dropped again. It was trading at above $32,000, according to Coinmarketcap. Other cryptocurrencies also fell over the weekend. Ethereum was down 20%, trading around $2,400. Dogecoin fell 16%, and Binance coin was down 26%.
Moreover, the selloff began after Chinese authorities announced a further restriction on cryptocurrency transactions within their borders. As a result, a broad crypto crash wiped out about $1 trillion in the market value.
In addition, the statements from Beijing spooked an already tense crypto market, and bitcoin plunged 30% to $30,000, its lowest point since January. Ethereum fell more than 40%, and dogecoin and Binance lost around 30%.
In fact, this kind of volatility in the crypto sector isn’t new. Still, as the digital coins become more mainstream, their swings are attracting more scrutiny among investors and corporate America.
Furthermore, the stretch of losses began on May 12, when Musk suspended Tesla purchases using Bitcoin, citing environmental concerns.