Bitcoin coin crash today Bitcoin’s price has dropped below $40,000 at the start of the week, after climbing over $44,000 at the beginning of the month. After Russian troops invaded Ukraine, BTC fell from $39,000 to below $35,000 before recovering. As quickly as it crashed, the cryptocurrency bounced back, with some analysts saying bitcoin can be a safe-haven asset during geopolitical uncertainty.
The Ukraine Digital Ministry said it was used to “help Ukraine’s armed forces” over the weekend after it requested bitcoin and Ethereum donations. On Monday, BestChange, a Russian cryptocurrency exchange, appeared to be down after Ukrainian exchanges froze Russian and Belarusian crypto accounts.
Bitcoin coin crash today 5% Crash As biden’s executive order on cryptocurrencies was framed, bitcoin shot up as much as 11% on Wednesday amid optimism about U.S. regulation of digital assets. Gains faded as traders digested the news, and the token is back in the middle of the range where it’s been for most of the past two months.
Around the same time Bitcoin’s price took a second leg lower, S&P 500 and Nasdaq 100 futures turned negative. Since the Covid-19 pandemic began, cryptocurrencies have been relatively correlated with U.S. stocks. During the early hours of Thursday, the price of Bitcoin (Crypto: BTC) dropped nearly 5.3% over 24 hours to $39,299.93.
The Biden administration issued a long-awaited executive order on cryptocurrencies on Wednesday. Starting the process for Congress and other federal agencies to implement oversight of digital tokens.
As the blueprint is released, markets are being roiled by the Russia-Ukraine conflict, which is spilling over into crypto. The move is mostly praised by industry players who are worried about the government creating a regulatory framework for the booming industry.
Founder and CEO of crypto research platform, Messari, Ryan Selkis, said: “This is a big deal for crypto. The Biden Administration was thoughtful and restrained.”
In the months ahead, we’ll see what the major regulators propose, but this is a positive move, and no red flags stood out, he added.
A brisk rally on Wall Street – combined with optimism about the EO – helped boost cryptocurrencies like Bitcoin (BTC-USD), which jumped nearly 9% to around $42,000, and Ethereum (ETH-USD). According to Coinmarketcap, cryptocurrency market capitalization grew $980 billion in 24 hours.
Additionally, privacy-related tokens like Zcash (ZEC-USD) and Monero (XMR-USD) were both up late Tuesday after Treasury Secretary Janet Yellen jumped the gun with her early reaction to the EO.
The price of bitcoin dropped below $40,000, erasing most of the gains that came from optimism about U.S. President Joe Biden’s executive order to support the crypto industry.
It fell for the first time in three days, falling as much as 5.9% to $39,432 on Thursday. Ether was down as much as 4.4% to $2,589 on Thursday. Almost all the top cryptocurrencies were down at least a little bit to 1:35 p.m. local time, according to CoinGecko.
In Wednesday’s trading, the apex coin traded below the psychologically significant $40,000 level after touching an intraday high of $42,465.67. At press time, all other major coins were in the red.
On December 24, Ethereum ETH, the second-largest coin by market capitalization, fell 4.2% to $2,597.33. In the same period, Dogecoin DOGE fell 3.8% to $0.12.
There was a 4.5% decline in the market cap of cryptocurrencies to $1.75 trillion.
At press time, crypto currencies and U.S. futures were both trading lower. The S&P 500 and Nasdaq futures were down 0.22% and 0.3 % at press time, respectively, at 4,265.75 and 13,694.25 points.
Following a previously exuberant market in the wake of details of a long-awaited cryptocurrency-related executive order by President Joe Biden, major coins have declined.
Yoon Suk-yeol, a candidate advocating cryptocurrency deregulation and lower taxes, won South Korea’s presidential election.
Despite that, Biden’s order had “no major surprises,” and provided “positive regulatory clarity,” Noelle Acheson, head of market insight at Genesis Trading, told Yahoo Finance.
The ARK36’s Mikkel Morch predicted the market’s “very promising reception” could even lead to the Securities and Exchange Commission (SEC) approving the spot Bitcoin ETF sooner than expected.
It now looks like the SEC will approve it soon. “Then maybe we’ll see another boom in Bitcoin and the crypto market,” Morch says.
In a separate email, Denelle Dixon, CEO of Stellar Development Foundation, said she hoped the executive order would make existing agencies more transparent and fix any shortcomings.
Mark Wetjen, FTX Head of Policy and Regulatory Strategy. US, told Yahoo Finance in an interview that his organization wanted to “keep working with regulators to create an environment that’s pro-US and pro-innovation.”.
But the proposed framework could also mean “more oversight that hampers the sector,” said Eswar Prasad, professor of trade policy at Cornell and author of “The Future of Money.”
Several big companies like JP Morgan Chase & Co., Goldman Sachs, and Blackrock are moving into the crypto market. In addition to that, retail investors are trying to make money on digital coins.
Mike Scarpa: “I am hopeful that this executive order will provide guidance on licensing requirements and appropriate regulation oversight,” said Scarpa, managing director of KPMG’s financial services, regulatory, and compliance risk group, told Yahoo Finance.
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Cryptocurrencies crash for six reasons. Next:Too much leverage for crypto investors.
Too much leverage by crypto investors.
In early January, CryptoQuant’s BTC leverage ratio reached all-time highs,which indicates that more investors are taking on risk.
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