Crypto Market Takes a Hit: Bitcoin Plummets to $90,000
The cryptocurrency market is experiencing a significant downturn, with Bitcoin’s value dropping to $90,000, a 4% decline from its previous mark. This downward trend began over the weekend, with Bitcoin losing a staggering 7% since Saturday. The past week has seen a 11% decline in Bitcoin’s value.
Ether and Broader Crypto Market Follow Suit
Ether, the second-largest cryptocurrency, has also taken a hit, losing 7% of its value on Monday. The CoinDesk 20 index, which tracks the broader crypto market, has dropped by more than 6%. This decline is having a ripple effect on crypto-related stocks, with Coinbase and MicroStrategy experiencing a 4% and 5% decline, respectively, in premarket trading.
What’s Behind the Decline?
The crypto market’s downturn can be attributed to a combination of factors, including stronger-than-expected payroll numbers, which led to a spike in bond yields, and concerns about President-elect Donald Trump’s tariff plans. These developments have given a boost to the dollar, putting pressure on Bitcoin and other risk assets.
A Turbulent Quarter Ahead?
Despite initial optimism about a pro-crypto Congress and White House, investors are now warning that the first quarter of 2025 could be more turbulent for crypto than previously anticipated. Bitcoin’s remarkable 120% growth in 2024 has been overshadowed by its 3% decline so far this year.
Stay Informed
Stay up-to-date with the latest news and developments in the crypto market. Get free newsletters and insider information delivered straight to your inbox.
Leave a Reply