Bitcoin Suddenly Crashes Under $30,000 As Ethereum, Binance’s BNB, Cardano, XRP And Dogecoin Go Into Freefall
Bitcoin and cryptocurrency prices have suddenly crashed lower, falling sharply after weeks of malaise.
The bitcoin price dropped under the closely-watched $30,000 per bitcoin level as smaller cryptocurrencies including ethereum, Binance’s BNB, cardano, Ripple’s XRP and the meme-based dogecoin recorded double-digit percentage losses, wiping away $200 billion in value over the last week.
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The crypto market, having tested the $30,000 level repeatedly over the last few weeks, appears to have been spooked by a cease and desist order that was issued to New Jersey-based multi-billion dollar bitcoin financial services platform BlockFi by the New Jersey Office of the Attorney General, the Bureau of Securities last night.
The story, first reported by Forbes, triggered a wave of selling as investors questioned this could be part of a wider crackdown on the myriad of crypto lending platforms that have sprung up over the last couple of years. BlockFi offers interest rates to depositors between 0.25% and 8.5% depending on the crypto asset and deposit size.
“Bitcoin has found it challenging to move higher and the upper end of this range has been converging gradually,” Pankaj Balani, the chief executive of the Singapore-based Delta exchange wrote in emailed comments. “Bitcoin failed above $36,000 last week and $33,000 this week. We have also continuously tested the bottom end of the above range which shows weakness in price and opens up the risk of a breakdown below $30,000.”