bitcoin, the most traded asset on the market, saw its price drop from $69,000 weeks ago to about $51,000, down nearly 30%
Bitcoin prices have dropped dramatically in the last week and the market value of cryptocurrencies has racked up $300 billion in losses in just two days.
Bitcoin, the most traded asset on the market, saw its price drop from $69,000 weeks ago to about $51,000, down nearly 30%. This latest losing move also affected other cryptocurrencies such as ethereum, solana, Binance BNB, XRP gimbal and ripple. Each of these assets dropped nearly 10% in just 24 hours.
This sudden liquidation is accompanied by heavy losses in the stock market, following an announcement by investor Louis Navellier. He argued that the widely expected reduction in incentives from the Federal Reserve (Fed), the US central bank, could burst the bitcoin and cryptoactive bubble around the world.
“The Fed is reducing [incentives] and that should create a correction in risky assets, of which bitcoin is a part,” Navellier wrote, in comments first reported by Insider. "The more competent the Fed, the more volatility we will see in stocks, bonds and, yes, bitcoin too."
Bitcoin and other smaller cryptocurrencies are volatile compared to traditional markets. After all, gains from ethereum, solana, Binance BNB, cardan and XRP ripple also tend to skip percentages of full twos in hours.
Navellier warned that the price of bitcoin could drop below $10,000 per asset, down more than 80% from last month's highest price of nearly $70,000.