Bitcoin falls below $20,000

Bitcoin continued to fall on Saturday due to investors’ lack of appetite for risk, losing 9% from Friday to trade at $18,740, its lowest value since December 13, 2020.

Since its historical price of 68,991 dollars on November 10, the cryptocurrency has depreciated 62%. By 3:50 p.m. GMT, it was worth $18,941, down 8% from Friday.

All cryptocurrencies retreated on Saturday. Ether, the second most traded digital currency, lost almost 10%.

In a week in which the markets fell due to the difficulties of the countries in dealing with inflation and the fear of a weakening of the world economy, cryptocurrencies paid the highest price.

On Monday, the market for those coins fell below the symbolic figure of 1,000 million dollars. In November the volume was 3,000 million.

Bitcoin’s decline was further accelerated by the suspension of withdrawals on two cryptocurrency trading platforms.

Celsius suspended withdrawals and transfers on Sunday night. This company proposed to its users to leave the “historical” cryptocurrencies, such as bitcoin and ether, to invest in new virtual currencies.

Platform Babel Finance, meanwhile, told its clients on Friday that it was suspending all withdrawals due to “unusual pressures on cryptocurrencies.”

Although often recognized as the most valued cryptocurrency in the world, the price of Bitcoin has almost plummeted and is already worth less than many new vehicles.

The asset traded at $20,000 per unit for the first time since November 2020, more than 70% lower than an all-time high of $68,000 per coin in November 2021. According to CNN, this comes on top of a series of sustained losses in recent months.

Read more: Bitcoin has already fallen to $19,000

Bitcoin has lost $900 billion in value since that peak. The massive cryptocurrency crash is part of a larger market downturn triggered by elevated inflation, rising interest rates, the war in Ukraine, COVID-19 pandemic lockdowns, and supply chain chaos. supply.

Nonetheless, roughly half of all Bitcoin wallets are still in profit, according to a Columbia Business School analysis cited by The New York Times.

It is not unusual for crypto bear markets to be down 85% to 90%. In the last decade, two prolonged crypto downturns caused Bitcoin to lose more than 80% of its value, although it has recovered.

For example, from 2017 to 2018 Bitcoin plummeted 83%, from $19,423 to $3,217. But, as of November 2021, it was valued at $68,000.