BREAKING: Bitcoin and cryptocurrency market in freefall – several exchanges offline

Posted: 20 May 2021 12:15 am
News
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Individual losses of up to 40% across the top 10 cryptocurrencies by market cap have triggered a selling frenzy.

  • Bitcoin and the wider cryptocurrency market is facing a historic day of losses, as the overall market loses roughly 20% of its value in a 24-hour period according to CoinGecko data.
  • At the time of publication, Bitcoin was down approximately 25% on the day, to $32,000 per coin.
  • Several major cryptocurrency exchanges and data providers such as Coinbase and CoinGecko are struggling with user demand, resulting in confusion across the market. As a result, pricing data was unreliable for a few hours.

Updates:

  • Elon Musk tweets about cryptocurrency: Musk took to twitter to announce that "Tesla has :diamond: :hands:" using emojis for diamond and raised hands. This comes after recent tweets that Tesla might be selling its BTC holdings and a contradictory tweet that it wasn't selling.
  • Downward selling pressure likely triggered by new crypto regulations from China: Beijing expanded on previous crypto regulations from 2017 and 2019, further strengthening their position that "virtual currencies are not supported by any real value." These new statements on regulations come from a joint statement from the National Internet Finance Association of China, the Payment and Clearing Association of China and the China Banking Association.

We will update this story if it develops.


Disclosure: The author owns a range of cryptocurrencies at the time of writing

Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific provider, service or offering. It is not a recommendation to trade. Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.

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