Bitcoin and other major cryptocurrencies have crashed after Russia launched a full-scale invasion of Ukraine.
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The bitcoin price has plunged under $35,000 per bitcoin, down almost 10% over the last 24 hours, while other top ten cryptocurrencies ethereum, BNB, solana, cardano and XRP have suffered similar falls.
Crypto’s latest price crash means an eye-watering $500 billion has now been wiped from the combined crypto market in just one week, reducing it to levels not seen since last summer.
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The bitcoin price has been losing ground over the last few weeks as the crisis in Ukraine has … [+]
Bitcoin’s crash in the face of mounting geopolitical tensions between Russia and Ukraine has degraded its reputation as “digital gold” and a safe haven for investors in times of crisis.
Alongside the bitcoin and crypto price collapse, the price of oil has surged past $100 a barrel, the highest levels seen by the international benchmark Brent crude futures in more than seven years. Gold, the traditional safe haven for investors in times of high risk, has also soared higher in recent weeks.
The bitcoin price has soared over the last two years, climbing almost 300%, along with global stock markets as the Federal Reserve flooded the system with cash in order to offset the economic damage wrought by the Covid-19 pandemic and subsequent lockdowns.
However, the bitcoin price peaked in November last year at almost $70,000 and has now lost 50% of its value as the Fed gears up to hike interest rates for the first time in Covid-era and cut back its huge stimulus measures. Smaller cryptocurrencies such as ethereum, BNB, solana, cardano and XRP have largely outpaced bitcoin’s rally over the last two years.
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The bitcoin price has crashed by 20%, plunging under $35,000 per bitcoin and causing billions to be … [+]
Bitcoin and crypto market watchers are nervously eyeing the falling price of bitcoin, ethereum and other cryptocurrencies, but many remain upbeat about bitcoin’s longer-term prospects.
“I do believe the bleeding will continue, but I also think we are getting near the end. One thing I can safely say is that bitcoin is cheaper at $38,000 than it is at $69,000. It had dropped to under $34,000 a few weeks ago,” Alexandre Lores, director of blockchain market research at research group Quantum Economics, wrote in emailed comments, adding he is still “bullish on bitcoin and decentralized digital assets in the long-term.”
“In January, I did predict certain factors would cause selling pressure,” wrote Lores, pointing to action Federal Reserve policy makers would take to combat inflation.
“What I did not predict was the Russia/Ukraine tensions, which have created selling pressure across global markets, which includes crypto, as well as the S&P 500, which has fallen more than 10% from the all-time closing high it reached January 3, therefore entering correction territory.”
Source: https://www.forbes.com/sites/billybambrough/2022/02/24/500-billion-crypto-price-crash-bitcoin-ethereum-bnb-cardano-solana-and-xrp-are-suddenly-in-freefall-as-russia-invades-ukraine/