Bitcoin fell below $ 29.2k on Monday for the first time since June 22, causing hundreds of billions of dollars in damage to cryptocurrency investors.
Bitcoin dropped more than 6% on July 20, Ethereum fell almost 9%, and XRP fell almost 10%, according to CoinDesk data. On June 21, the value of the asset dropped to a minimum since June 22 at $ 29.2 thousand.
However, in the morning of July 21, the price of bitcoin on the Binance crypto exchange rose slightly, and at 17:00 Athens time it reached $ 31.9 thousand. Over the past day, it has risen in price by 5%.
At the same time, depositors who were not in a hurry to sell their cryptocurrency remained in the black and even managed to earn a little.
Bitcoin has been locked in a wide price range of $ 30,000 to $ 40,000 since mid-May and briefly dropped below $ 30,000 on June 22. The cryptocurrency was trading rapidly at $ 29,700 a day after the People’s Bank of China ordered the country’s major financial institutions to stop facilitating crypto transactions.
The fall in bitcoin came after a big sell-off in global stock markets. Monday was the worst day for the Dow Jones Industrial Average since October last year.
“There is a massive sell-off in the global markets, with risky assets falling across the board,” Annabel Huang, a partner in cryptocurrency financial services firm Amber Group, told CNBC. There are “concerns about the quality and strength of the economic recovery” and “weakening assets with broader risk, including high yields,” Huang said. “Coupled with the recent weakness in BTC (bitcoin), this only led to a further drop in the cryptocurrency market.”
There have been some shifts in the crypto landscape lately. Binance, a popular cryptocurrency exchange, has been shut down from several countries over concerns over how it regulates its site, and China is enacting new rules for cryptocurrency companies.
And the Malaysian authorities recently destroyed a bitcoin mining hardware that was valued at $ 1.2 million. They were arrested for illegal activities.
Cryptocurrencies plummeted in early June when former US President Donald Trump claimed Bitcoin was a “scam.” “Bitcoin is just a scam,” he told Fox Business. “I don’t like this because it’s another currency competing with the dollar … I want the dollar to be the world’s currency. I’ve always said that. “