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Cryptocurrency Bloodbath: Bitcoin Crashes, Major Tokens Follow – Novinite.com
THE price From Bitcoin fell below $58,000 for the first time in two months early this morning, while several other major cryptocurrencies also saw declines, Bloomberg reported.
Ethereum price fell by more than 5.4%, falling below $3,200, while other popular tokens such as Binance’s BNB, Solana, and Dogecoin saw drops of 6.1%, 8.8%, and 7.2%, respectively.
One of the main reasons for this decline is likely concerns over the impending return of a large amount of bitcoin to creditors of the now defunct Mt. Gox.
By 2014, Mt. Gox handled 70% of all bitcoin, but then ceased operations entirely following revelations of losses and thefts of hundreds of thousands of bitcoins, worth hundreds of millions of dollars. Bankruptcy followed, leading to a decade-long battle between creditors and the exchange’s administrators to recover their cryptocurrency investments.
Finally, at the end of 2023, an agreement was reached and some of the lost bitcoins were found. payment is currently underway and is expected to be completed by October this year.
THE payment It involves about 140,000 bitcoins, worth about $8 billion. There are concerns that creditors may liquidate some of their returned crypto assets.
Analysts cited by Bloomberg also point out that the US presidential election could impact cryptocurrency prices. Biden’s poor performance in the first debate has led to calls for him to withdraw from the race. The cryptocurrency market is wary of a stronger Democratic candidate replacing Biden to take on former President Donald Trump, who has recently presented himself as a pro-crypto leader.