After briefly hitting new highs after the Russian invasion of Ukraine, digital assets such as bitcoin and others have recorded huge losses in value.
Within the past 24 hours, the price of bitcoin has fallen by more than 5 percent, bringing its price below the $40,000 range. Earlier this week, the coin was still trading at around $44,000, giving it a sharp decline.
In the early hours of Friday, bitcoin was reportedly trading around $41,000, but soon fell to $39,000 due to a selloff wave – leading analysts predicted a further price drop over the weekend, possibly around $38,000. fell till Rect Capital,
The company believes that bitcoin’s move may continue as before, when it ended the week at $43,000 and its “price rejected to rest in the red $38,000 zone.” With the recent drop, it is difficult to say whether bitcoin will climb back to $50,000 by the end of the month, as some had previously predicted.
Altcoins also fell
While the price of bitcoin was down just 0.6% last week, Ethereum was down 4.4%. This shows that many crypto investors are opting for bitcoin over other cryptocurrencies.
Other top ten digital assets by market cap such as BNB, Solana, Cardano, Avalanche, and even the high-flying Terra lost over 3% of their value. However, the only exception to this decline was Ripple’s XRP, which gained around 3.2% of its value.
Overall, the industry has lost more than $100 billion as the space’s market cap fell to $1.8 trillion, after dropping more than 4 percent within the past 24 hours.
Russia’s growing isolation
In the wake of the ongoing Russia-Ukraine conflict, crypto markets, including bitcoin, are apparently reacting proportionately to the unfortunate chain of events that continues to unfold as the United States and its allies find ways to isolate Russia. The search continues. financial resources.
Following the economic sanctions imposed on the nation, as well as the recent launch of ‘KleptoCapture’ by the US Department of Justice and the Biden administration, some market experts still believe that the country may impose many of these sanctions through the use of crypto. Could escape – despite exchanges saying they are blacklisting known addresses of politicians, public figures and aides who are poised to help Russian actors continue to funnel money.
Although the theft concerns have not been confirmed, it has certainly raised fears of stricter crypto regulations.
At press time, bitcoin is currently trading at $39,099.
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