An image of Bitcoin, a cryptocurrency, as a coin. Reuters Yonhap News
The price of bitcoin, the leader of cryptocurrency, plunged again. Recently, it is analyzed that the value of digital currency or as an asset has been damaged due to the large volatility.
According to Coinbase, an American cryptocurrency exchange on the 28th (local time), the bitcoin price was traded at 1:10 am (3:10 pm Korean time) on the same day at $43,810.19 each. The price is at the beginning of this month.
Bitcoin surpassed the all-time high of $58,000 on the 21st, but has since turned to weakness. In addition to Bitcoin, the prices of other cryptocurrencies such as Ethereum Polkadot Cardano are falling all at once in the global market.
Bitcoin price has fallen by more than 20% last week alone. On a weekly basis, it is the largest since the declaration of the new coronavirus infection (Corona 19) pandemic in March last year.
US Treasury Secretary Janet Yellen once again revealed negative recognition, saying, “Bitcoin is an inefficient payment method,” and it is analyzed that the price of risky assets such as stocks fell at the same time as the interest rate for long-term US Treasury bonds rose. Cryptocurrency advocate Elon Musk, Tesla CEO, warned that “the price of Bitcoin and Ethereum seems to be high” also contributed to the bearish turn.
The price of bitcoin, which is a cryptocurrency ledger, continues to plummet. Coindesk capture
However, optimism remains, as Michael Sailor, founder and CEO of MicroStrategy, recently announced that he had purchased an additional $1 billion worth of Bitcoin. The average price of bitcoin purchased by MicroStrategy, a company information analysis and software company, was found to be $52,765.
Sailor said, “The market cap of Bitcoin, which is currently worth $1 trillion, can grow to $100 trillion in the long term. If the market cap exceeds $10 trillion, the volatility will also decrease.”
Bitcoin’s mining limit is 21 million, and 18.6 million are currently in circulation. Bitcoin surpassed the market cap of $1 trillion for the first time ever last week. It is one-twelfth of the gold market cap.
Anthony Pompliano, partner of hedge fund Morgan Creek Digital, said, “We still maintain our predictions for 2019 that the price of Bitcoin will reach $100,000 by the end of this year.”
New York = Correspondent Jae-Gil Cho [email protected]
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