Bitcoin Records Biggest Fall In Three Months
Gatekeepers News reports that the cryptocurrency market has fallen as the price of Bitcoin dived to $34,000 (£24,030) for the first time in three months after China imposed fresh curbs.
The fall which was recorded on Wednesday followed China’s regulation on the use of digital currencies.
On Tuesday, Beijing banned banks and payment firms from providing services related to crypto-currency transactions and also warned investors against speculative crypto trading.
Gatekeepers News reports that this development has therefore sent Bitcoin down at $38,193 losing 11% on Wednesday, bringing it down by more than 30% in a week.
Similarly, other digital currencies such as Ether, which acts as the fuel for the Ethereum blockchain network lost 22% while Dogecoin lost 24%.
Gatekeepers News traced the threats to Bitcoin to the series of tweets from the Chief Executive Officer of Tesla, Elon Musk.
Musk had announced that Tesla will no longer accept Bitcoin as a form of transaction.
However, Tesla shares have also fallen by more than 3% on Wall Street, possibly because of the electric carmaker’s exposure to Bitcoin.
The recent sell-off has, therefore, sent market capitalisation of all cryptocurrencies to $1.7 trillion, compared to the $2.5 trillion it recorded earlier this month.