Cryptocurrencies tumble along with global financial markets on Monday as Chinese property developer Evergrande collapses, potentially spreading to other indebted property companies as well.
Bitcoin (BTC-USD) swoons 7.7% in the past 24 hours to $43.7K, while Ethereum is off by 9.2% at $3K; Binance Coin (BNB-USD -9.4%), Cardano (ADA-USD -8.7%), Ripple (XRP-USD -12.7%), and Solana (SOL-USD -10.6%) are all deep in the red.
It appears the $3K level for Ether (ETH-USD) has served as solid support thus far, but still declined to its lowest point since mid-August.
The trade-weighted U.S. dollar gains with the 10-year U.S. Treasury yield gapping down to 1.32%. This dynamic along with a selloff in risk assets shouldn't be surprising since the U.S. dollar still serves as the world reserve currency; historically, dollars are in demand amid risk-off events.
Some stocks that act as a "proxy" to Bitcoins' (BTC-USD) price action are also plunging, including: Marathon Digital Holdings (MARA -5.1%), Riot Blockchain (RIOT -4.3%), MicroStrategy (MSTR -5.2%), Coinbase Global (COIN -4.5%), Hut 8 Mining (HUT -7.6%), Bitfarms (BITF -7.4%), Silvergate Capital (SI -5.9%), Bit Digital (BTBT -7.5%), and Grayscale Bitcoin Trust (OTC:GBTC -8.0%).
Earlier, Bitcoin leads cryptocurrency plunge as global markets suffer 'risk-off' day.
By: Max Gottlich
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