Coinbase stock falls 20% as Celsius news hits cryptocurrencies

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Coinbase Global Inc (NASDAQ: COIN) opened more than 20% down this morning after a crypto lending company made an announcement that pushed Bitcoin to its lowest since the start of 2021.

Celsius Network news: risk of insolvency

Celsius Network disabled customers from withdrawing or transferring crypto assets over the weekend – a drastic move that, as per a pseudonymous crypto investor L.S., is a signal that it’s risking insolvency.

If they paused withdrawals, especially considering these market conditions, it’s fair to say they are rising insolvency.

On fears that it might be the start of a bigger storm, investors wiped $200 billion off the crypto market this weekend. A range of crypto-related stocks were also deep in the red. Let’s take a deeper look at some of the bigger crypto stocks dominating headlines Monday morning.

Crypto crash spills over to stocks

Shares of Coinbase traded briefly under $50 on Monday that translates to a more than 80% decline for the year. Last month, the crypto exchange reported weaker-than-expected results for its fiscal Q1.

Rival crypto broker Voyager Digital is also down nearly 20% this morning. By comparison, MicroStrategy Incorporated that holds roughly 130,000 bitcoins is down more than 25% today.

Elsewhere in crypto stocks, miners Bitfarms Ltd and Riot Blockchain Inc lost more than 10% each.

The post Coinbase stock falls 20% as Celsius news hits cryptocurrencies appeared first on Invezz.

Source: https://invezz.com/news/2022/06/13/coinbase-stock-falls-20-as-celsius-news-hits-cryptocurrencies/