x

Bitcoin’s Value Hits A Fresh Two-month Low Amidst Global Market Sell-off

Top cryptocurrency bitcoin hit a fresh two-month low on Friday, breaking out of its recent tight range as a wave of risk averse sentiment swept through world markets.

On Thursday, bitcoin fell 7.2% in its biggest one-day drop since November 2022 when top exchange FTX collapsed.

It then slipped to a two-month low of $26,172 during Asian trading hours on Friday, its lowest since June 16 . By 0835 GMT, it had partly recovered to $26,441, down 0.8% on the day.

Global markets have been hit by a wave of selling, with Wall Street’s main indexes closing lower on Thursday and Asian shares heading for a third week of losses over concerns about China’s economy and fears that U.S. interest rates would stay higher for longer given a resilient economy.

Ether, the second biggest cryptocurrency, was steady at $1,685.20 , having also dropped sharply on Thursday.

Some analysts attributed crypto’s drop to a Wall Street Journal report that Elon Musk’s SpaceX sold its bitcoin holdings after writing the value down by $373 million. Musk is influential among crypto enthusiasts, and bitcoin prices have previously moved in response to his tweets.

“The broader driver is that crypto assets are not immune to the deepening risk-off selling pressure seen across all asset classes,” Laidler added.

Joseph Edwards, head of research at Enigma Securities, attributed the bitcoin price move to low volatility and a lack of enthusiasm from retail investors.

Bitcoin had been hovering close to $30,000 in recent months, having gradually recovered this year after dropping sharply in 2022 when various crypto firms collapsed, leaving investors with large losses.

Crypto markets were boosted in June by BlackRock applying to launch a spot bitcoin exchange-traded fund (ETF) in the United States. Some investors interpreted that move as an indication that the U.S. Securities and Exchange Commission would approve spot bitcoin ETF applications from various asset managers, including Grayscale.

“The big concern right now is that this might be a frontrun on the outcome of Grayscale’s lawsuit against the SEC; optimism on that front has been keeping markets inflated above whether they might otherwise be for much of the summer,” Edwards said.

Hot this week

Editors Urge Government To Create Safe, Enabling Environment For Journalists

· Ask security agents to find missing Vanguard journalist As...

EXCLUSIVE: Buhari orders probe of Isa Funtua, AMCON over keystone and Etisalat

Following the controversy generated by the leading opposition party,...

6 Signs your boyfriend thinks you are ugly -Take note of No. 2

They say there are three kinds of people; the...

2023: South-East, Middle Belt Forum Endorses Peter Obi

The South-East and Middle Belt Forum has endorsed the...

Tinubu Lights Up Dakibiyu District, Commissions Connector Road CN-8 Road

By Joyce Rémi-Babayeju President Bola Ahmed Tinubu on Tuesday opened...

Wike Never Allocated Land In Abuja To Children – Aide Insists

By Joyce Remi-Babayeju Senior Special Assistant on Public Communications and...

Tinubu Extols Wike For Localizing Renewed Hope Agenda, Commissions Giri Access Road

By Joyce Remi-Babayeju President Bola Ahmed Tinubu on Monday extolled...

Gov Mutfwang Reaffirms Commitment to Business-Friendly Environment in Plateau

By Israel Adamu, Jos Governor of Plateau State, Barrister Caleb...

One Killed, Homes Razed as Family Members Clash Over Farmland in Plateau

By Israel Adamu, Jos One person has been confirmed dead...

Akume’s Alleged Resignation a Plot to Incite Religious Tension – Northern CAN

By Achadu Gabriel, Kaduna The Christian Association of Nigeria (CAN)...

Kaduna Govt Debunks Alleged 24-Hour Curfew in Kakuri

By Achadu Gabriel, Kaduna The Kaduna State Government has debunked...

Delta Govt Open to Constructive Criticism – Aniagwu

By Anne Azuka The Delta State Government has reaffirmed its...
spot_img

Related Articles

Popular Categories

spot_imgspot_img