Finance: why cryptocurrencies are collapsing

For the first time since the end of 2020, bitcoin fell below the symbolic bar of 20,000 dollars (17,599 dollars) on Saturday. denisismagilov – stock.adobe.com

ANALYZE – Market reversals are commonplace with cryptocurrencies, which alternate up and down cycles. But the current upheavals seem more worrying than usual.

The fall seems endless. Since November, the price of bitcoin, the oldest and most accepted cryptocurrency, has been falling steadily. The movement accelerated in May, then last week (-25% in seven days, unheard of) and during the weekend, bringing all of these currencies of a new kind in its wake.

For the first time since the end of 2020, bitcoin fell below the symbolic bar of 20,000 dollars (17,599 dollars) on Saturday, before recovering on Monday to 20,550 dollars. Observers are closely watching this threshold of 20,000 dollars, below which institutional investors are likely to begin to solder their positions.

The current debacle, which some call a “bloodbath”, is painful for bitcoin holders: since the start of the year, this asset has lost 57% of its value and more than 70% since its historical peak in November. last, at $69,000. Ethereum, the second most widely used cryptocurrency in the world, was trading…

This article is for subscribers only. You have 84% left to discover.

Cultivating your freedom is cultivating your curiosity.

Keep reading your article for €0.99 for the first month

Already subscribed? Login

.

Leave a Comment