The cryptocurrency is down as much as 16% to $ 45,000, quickly losing more than the $ 58,000 it made last week. On Monday, it actually posted a 17% decline before moderating the decline. With a strong bottom and everything, Bitcoin still accumulated 390% last year.
The protagonist, United States Treasury Secretary, Janet Yellen crashes. Regarding the future of cryptocurrencies, the senior official said that Bitcoin may be an asset as an investment, but it will not become a means of payment because it is “very ineffective”. Additionally, he acknowledged that they would consider launching Digital dollar in the future.
Yellen confirmed on Monday that Bitcoin is continuing Without being established as a payment method it is a “very ineffective method of dealing”. His sayings fell like a bucket of cold water after the cryptocurrency soared weeks ago.
After his comments added to the statements of other influential figures in the financial world, the most popular cryptocurrency with the largest market value collapses for the second day in a row, about 16% in the session this Tuesday, after reaching the historic maximum. Last Sunday, above $ 58,000.
So far this weekLess than two days, The cryptocurrency lost more than 10,000 USD, Since it rose from $ 58,350 on Sunday, a record high so far, to $ 45,300 it is now trading, according to data from Bloomberg. Bitcoin was actually down 4% on Monday, and today it is down roughly 12%.
Yellen’s strong sayings aside, some analysts also link the cryptocurrency’s decline to A comment on Twitter by Tesla CEO Elon Musk mentioning the potential existence of Bitcoin and EtherThe second most used cryptocurrency, It was very high.
But they weren’t the only ones who questioned the cryptocurrency. More than a month ago, Christine Lagarde, President of the European Central Bank (ECB), criticized Bitcoin harshly and claimed A universally agreed list Because it is an asset ‘Too speculative’ This makes it easier Illegal business and money laundering operations.
The former head of the International Monetary Fund expressed concern about the potential uses of the more well-known cryptocurrency, and even warned that she “understood that there were criminal investigations into illegal activities.”