Bitcoin has fallen below US$20,000 for the first time since mid-July, down nearly 60 per cent from its peak in 2022. Saturday’s readings show that it has fallen 1.5 per cent to US$19,946, or US$298 less than the previous closing price. It is now estimated to be 58.7 per cent below the peak of US$48,234 set on March 28, 2022. Meanwhile, the cryptocurrency Ether has also fallen 2.76 per cent to US$1,467.2, a loss of US$41.60.
Bitcoin, the largest and best-known cryptocurrency, has continued its decline, with experts blaming recession, inflation and others. However, the current decline is attributed to the fall of the three Wall Street benchmarks, which led to a 3 per cent drop and a poor showing for the cryptocurrency on Friday.
This prompted U.S. Federal Reserve Chairman Jerome Powell to declare that the end is far from over.
“Bitcoin broke below 20,000 as investors expect a weekend full of pessimism from Jackson Hole to drag down sentiment. European and Asian central bankers will likely be much more pessimistic than Fed Chair Powell, and this has many traders bracing for a weak open on Sunday night,” Edward Moya, senior market analyst at OANDA said.
The sources for this piece include an article in Reuters.