Bitcoin fell below $ 30,000 for the first time since June 22, causing other digital coins to fall as well.
The fall in bitcoin came after a big sell-off in global stock markets. Monday was the worst day for the Dow Jones Industrial Average since October last year.
“There is a massive sell-off in the global markets, with risky assets shrinking everywhere,” said Annabelle Huang, partner at Amber Group, a cryptocurrency financial services firm.
There are concerns about the quality and strength of the economic recovery and the weakening of assets with broader risks, including high yields. Coupled with the recent weakness in Bitcoin, this has led to a further decline in the cryptocurrency market.
A drop in bitcoin below $ 30,000 could be the start of a move towards a mark between $ 22,000 and $ 24,000. So says Vijay Ayyar, head of business development at the Luno cryptocurrency exchange.
Since Bitcoin hit an all-time high of nearly $ 65,000 in mid-April, its price has dropped more than 50%.