Bitcoin and ether hit multi-month lows
Bitcoin dropped 13% to $51,560, marking its largest one-day fall since November 2022, while Ether slid 17% to $2,277.
Bitcoin and ether tumbled to their lowest levels in months on Monday as concerns about a potential US recession triggered a selloff in riskier assets and a flight to safer investments. Both cryptocurrencies, which had previously gained from the approval of a spot bitcoin and ether exchange-traded fund by the US Securities and Exchange Commission, are now facing significant losses.
Bitcoin dropped 13% to $51,560, its largest one-day decline since November 2022, while ether fell 17% to $2,277, its lowest since mid-January. The drop is part of a broader downturn affecting global equities and other assets, with bitcoin losing over a third of its value since reaching an all-time high in March.
Market analyst Tony Sycamore noted that bitcoin is approaching critical support levels around $54,000 to $53,000, and failure to maintain this support could lead to further declines towards $48,000. The broader impact is also visible in the stock market, where shares of crypto-related companies like Coinbase, Riot Platforms, and Marathon Digital have plummeted in early trading, reflecting the broader sentiment in the crypto market.
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