The decline of bitcoin, the world’s largest cryptocurrency, reflects the sliding of the common stock market.
Photo: Kin Cheung / Associated Press Updated May 8, 2022 9:19 am ET
The cryptocurrency market fell over the weekend, reflecting slippage in the wider stock market.
The world’s largest cryptocurrency, bitcoin, fell to $ 34,702.69 on Sunday morning, a 3.8 percent change from Friday night, according to CoinDesk prices. The price of bitcoin is almost half of its all-time high of $ 67,802.30 in November.
As more and more professional investors enter the cryptocurrency market, it is increasingly moving in tandem with traditional markets. Institutional investors who buy cryptocurrencies treat them as risky assets, similar to technology stocks.
The stock market fell last week after the Federal Reserve announced a half-point increase in interest rates since 2000 to fight inflation. The central bank is also deploying part of its $ 9 trillion portfolio of assets. Fed Chairman Jerome Powell said there could be further increases over the summer.
Investors are less enthusiastic about risky bets amid declining stock markets. The tech Nasdaq Composite hit a 52-week low on Friday, falling to 12,144.66. From a year to now, it has decreased by 22%.
The crypto market was active over the weekend with a market volume of $ 100 billion, according to CoinMarketCap. The global crypto market is now only $ 1.6 trillion.
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