Bitcoin’s unrelenting selloff puts prices on verge of US$20,000
BNN Bloomberg
Bitcoin tumbled again, driving the token to the brink of US$20,000 as evidence of deepening stress within the crypto industry kept piling up.
There’s a growing sense of anxiety about the stability of crypto projects large and small. Tron founder Justin Sun’s roughly month-old stablecoin USDD drifted from its intended dollar peg, at one point dipping below 96 cents, data from CoinGecko show. A tweet from the co-founder of crypto hedge fund Three Arrows Capital fueled speculation that it had suffered large losses.
Bitcoin fell as much as 8.6 per cent on Wednesday US$20,081.95. The largest token has fallen for nine straight days, the longest losing streak since 2014. Ether was on the cusp of breaking the US$1,000 mark after a 10 per cent plunge.
A market that started sliding late last year on expectations of tighter monetary policy is now showing signs of widespread panic, after last month’s collapse of the Terra blockchain and the recent decision by crypto lender Celsius Network Ltd. to halt withdrawals. Even long-term holders who have avoided selling until now are coming under pressure, according to researcher Glassnode.
