Bitcoin fell to almost a two-month low. Over the course of a day, the rate of the world’s main cryptocurrency fell by almost 8%. Now for 1 BTC they give about $ 54,500. However, there are cryptocurrencies that have dropped even more.
For example, Polkadot fell 11%, XRP and Ethereum fell 9%. Minus 8% for Dogecoin, minus 9% for Avalanche, which, despite the general decline in the market, grew for a long time. Shiba Inu is losing over 10%. As a result, the cryptocurrency market capitalization decreased by 10.5% over the day, to $ 2.39 trillion. But what is the reason?
Bitcoin, like all other cryptocurrencies, is an asset. Its cost depends on the ratio of purchases and sales in the market. Apparently, investors began to sell risky assets (and cryptocurrencies are just such) amid alarming news about a new strain of coronavirus B.1.1.529 – traders are worried that events will develop according to the worst scenario with global lockdowns and another brake on the world economy. Against this background, even oil, which has been actively growing recently, is falling: over the course of a day, futures for Brent and WTI have fallen in price by about 10%.
So far, no one knows how the situation with B.1.1.529 will develop further, but analysts have begun to adjust their forecasts regarding the growth in the value of Bitcoin. In fact, few people already believe that this year we will see $ 100,000 for 1 BTC.