San Francisco: Bitcoin fell below $ 20,000 on Saturday, down 9% from the previous day to $ 18,740, the lowest level since December 13, 2020. The world’s most popular crypto assets have lost more than 72% of their value as investors are increasingly wary of risks, reaching a high of $ 68,991 on November 10, 2021 and then $ 18,740 on Saturday. After sinking in, Bitcoin rose to $ 18,941 at 1550 GMT, down 8% from Friday. On Saturday, other major digital currencies, including ether, which lost almost 10% of its value, also fell.
This week, the global stock market plunged in fear that the Fed and other central banks could raise interest rates to combat inflation could cause a recession. Cryptocurrencies pay the highest price. The value of the global crypto market fell below the iconic $ 1 trillion on Monday after reaching $ 3 trillion last November.
Bitcoin’s decline was accelerated by the suspension of withdrawals by the two cryptocurrency platforms. The Celsius Network said it has suspended “all withdrawals, exchanges and remittances between accounts” due to “extreme market conditions”. Babel Finance said it is facing “abnormal liquidity pressure.” The major exchange Binance has advised customers to temporarily suspend Bitcoin withdrawals and use other networks.
Coinbase said Monday that it is cutting 18% of its workforce, or about 1,100 jobs, due to difficult economic conditions and excessively rapid expansion. Brian Armstrong, Founder and CEO of Coinbase, said: In recent years, the crypto sector has benefited from huge cash injections through simple monetary policy from the world’s largest central bank. However, rapid inflation has triggered monetary tightening policies around the world and has helped disrupt the industry. – AFP
