Bitcoin Price Falls Below $40,000

Bitcoin fell below the $40,000 mark. At the time of writing, Bitcoin is priced at $31,964, roughly 49% below the annual high of $64,895 reached in mid-April. The drop was caused by restrictions in China and technical sales. The government has banned financial institutions and payment companies from providing services related to crypto transactions and warned investors against speculative crypto trading.

The second most important digital currency, Ether, lost 38% and fell to the level of 2,095 dollars. Of the top ten altcoins, Ripple has lost 33% in the last 24 hours and is trading at $1.05 at the time of writing. However, in the long term, Bitcoin still shows its benefits. Over the past twelve months, the price has risen more than 300%.

A significant drop below the $40,000 mark could clear the way to the $30,000 mark, according to analyst Timo Emden from Emden Research. The consolidation movement that the analyst currently sees in the market remains in full swing. The total market capitalization of all cryptocurrencies fell below the $2 trln mark to $1.85 trln. Thus, the crypto market lost about a quarter of its value in a week. The market cap was still $2.5 trln last Wednesday.

Image: BBC