Bitcoin drops below $81,000, hits lowest level since 2022
Bitcoin has plunged over the past 24 hours, experiencing its worst month since 2022.
The world’s largest cryptocurrency fell to $80,880.24 as of 7:25 a.m. ET on Friday, according to CoinDesk data. Bitcoin rose slightly to $85,071.73 as of 9:42 a.m. ET.
It has been falling since early November after posting significant gains in October when Bitcoin hit its highest level in cryptocurrency history, hitting a high of $126,000.
It fell below $100,000 in mid-November and below $90,000 on Thursday. The cryptocurrency is down more than 31% from its October high, according to MarketWatch.
November is the worst month for Bitcoin since June 2022, down almost 22% so far for the month. In June 2022, the value of Bitcoin fell by 41%, according to Bloomberg data. In 2022, the crypto world collapsed after several cryptocurrency platforms collapsed, including the highly publicized collapse of Sam Bankman-Fried’s FTX exchange.
Ethereum, the second largest cryptocurrency, is also seeing red. It fell by around 8% in the last 24 hours, while Tether, the third largest cryptocurrency, also saw a decline before gaining some ground – around 0.01%.
Bitcoin had a fairly lucrative summer, reaching highs well above $100,000, which continued through part of the fall. But it now appears that the cryptocurrency’s gains are too big to last.
“Liquidity is likely to dry up in the markets this week and as we approach the holiday season,” Adam Morgan McCarthy, head of research at crypto data provider Kaiko, told Barron’s. “This could exacerbate moves if investors continue to gamble their positions ahead of the holidays and liquidity dries up further.”
Major stock markets, including the Dow Jones Industrial Average, the S&P 500 and the Nasdaq Composite, also all fell this week before regaining some strength on Friday.
