A global market sell-off sparked by recession fears saw a sharp decline in cryptocurrencies.
As per Coin Metrics, the price of bitcoin dropped by over 13% on Monday, reaching $50,963.57.
It once dropped to $49,111.10, which was both its lowest position and the first time it had been below $50,000 since February.
Since Saturday, Bitcoin has dropped by around 18%. It reached a peak of $69,982 a week ago on July 20.
“It’s encouraging that bitcoin bounced back above $50,000 and that thirty percent slumps, as scary as they are, are par for the course during bull markets.”
“But don’t get me wrong, the market is choppy and volatile right now. The time to turn bullish will be when bitcoin regains its 200-day moving average, which usually indicates whether the market is in a bull or bear market, at $61,500.”
Losses in ether were much higher. The cryptocurrency asset lost 17% to $2,271.21, erasing its 2024 gain and increasing its three-day loss to 24%.
Source (CNBC)
