Bitcoin plunges below $25,000, weighed down by inflation

Considered a few months ago as a bulwark against the depreciation of traditional devices, bitcoin could not resist the collapse of the financial markets, which was further accentuated on Friday following the publication of stronger than expected inflation. in the United States, at 8.6% at an annual rate. The drop below the $25,000 mark is the first since the end of 2020 and its lowest level in 18 months.

Adding to the economic debacle is now the problems of Celsius Network, a major cryptocurrency lender, which has announced the suspension of “all withdrawals, swaps and transfers” between accounts, in order to put the company “in a better position to meet its payment obligations over time”.

According to crypto pundit Timo Emden, the prevailing concern in the market right now is that the wounds from the recent collapse of the US dollar-backed stablecoin terra have “obviously not fully healed” and that “other projects may fall.” at the water”. According to the expert, it is the entire sector that is taken to task.

As of 10:45 a.m., one bitcoin was trading at $24,392.50 at 10:45 a.m. on the Bitstamp platform, down 11.4% from 24 hours earlier. Its main rival, Ether, fell nearly 16.8% to $1,222.50.

According to the specialized site Coingecko, the market capitalization of all cryptocurrencies in circulation fell by 9.3% to just over 1033 billion dollars.

Leave a Comment