Bitcoin Crashes Below $40,000, Hits Lowest Point Since September
Bitcoin prices fell below $40,000 on Monday evening, reaching the lowest point in almost 3 months
The world’s largest cryptocurrency by market cap reached $39,677, according to data from CoinMarketCap
The flagship cryptocurrency has been on a downward trend since September, losing many key support levels
Bitcoin briefly fell below $40,000 on Monday evening, continuing its abysmal start to the year. The latest crash pushed the flagship cryptocurrency to its lowest point since last September.
The original cryptocurrency fell by more than 6% to $39,677, bringing its total losses in 2022 to more than 14%. This decline marks the largest at the start of the year since 2012.
Cryptocurrencies have been under intense pressure as the Fed continues to withdraw liquidity, which has been injected into the market since the start of the pandemic in 2020.
Its recent decline also pulled down other cryptocurrencies, as the second-biggest crypto by market valuation Ethereum fell below $3000. Altcoins such as Binance Coin, Polkadot, Solana, Cardano, and Luna also suffered heavy losses.
Bitcoin’s support in the $40,000 zone has proven to be key, as the original cryptocurrency spent only a few minutes below the $40,000.
At the time of this report, BTC is trading at $42,207, according to data from CoinMarketCap. Meanwhile, the market capitalization of the entire cryptocurrency market stands at $1.96 trillion, with almost $800 billion for Bitcoin.