Bitcoin dives as red hot rally hits buffers

Bitcoin dives as red hot rally hits buffers


Reuters November 27, 2020
Michel Espinoza faced money laundering charges for attempting to sell $1,500 worth of bitcoins. PHOTO: REUTERS

print-news
LONDON:

Bitcoin plunged on Thursday to its lowest level in 10 days, slamming the brakes on its blistering rally and sparking a sell-off among smaller digital coins.

Bitcoin, the world’s biggest cryptocurrency, slumped as much as 13% to its lowest since November 16. It was last down 9% at $17,074, a sharp correction from its three-year high of $19,521 hit on Wednesday. It has rallied around 140% this year to just shy of its all-time high of $19,666, fuelled by demand for riskier assets, a perception it is resistant to inflation, and expectations cryptocurrencies will win mainstream acceptance.

The second-largest cryptocurrency, ethereum, dropped around 13% and XRP, the third biggest, slid over 20%. Both coins, which tend to move in tandem with bitcoin, hit multi-year highs earlier this week. Bitcoin’s 12-year history has been peppered with vertiginous gains and equally sharp drops.

Published in The Express Tribune, November 27th, 2020.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.

COMMENTS

Replying to X

Comments are moderated and generally will be posted if they are on-topic and not abusive.

For more information, please see our Comments FAQ