Jakarta, CNBC Indonesia – The price of crypto assets from the beginning of 2022 until the end of last week has corrected quite badly, where the price of crypto has fallen by almost 30% in the last three weeks or globally. year-to-date (YTD).
In Bitcoin, the price is now in the range of US$ 35,000, where on Sunday (23/1/2022), the price fell by more than 3%. Bitcoin corrected below the level of US $ 40,000 has occurred since last Friday.
Whereas in early November last year, Bitcoin had almost touched US$ 70,000/BTC. This means that it only takes less than 2 months, market cap This most popular cryptocurrency has plunged nearly 50%.
Over the past week, the largest cryptocurrency has lost 18%. As Bitcoin crashes, other giant cryptocurrencies have also corrected. Last week Ethereum plunged 27%, Binance Coin (BNB) drop 26%, Cardano tumbled 23%, Solana tumbled 35%, and XRP slipped 22%.
Currently, one of the sentiments that has made the price of Bitcoin et al shattered is the ongoing movement of technology-based financial assets drop amid the issue of monetary tightening that will be carried out by the central bank of the United States (US), The Federal Reserve (The Fed).
Late last week, the Nasdaq Composite index which contains technology stocks also recorded a sharp correction of 2.72%.
Over the past week, the US technology stock index has drop 5% more. Technology stocks and digital assets known as growth storyIt is indeed very sensitive to monetary policy, especially by an increase in the benchmark interest rate.
Assets that are considered unable to generate positive cash flows become high risk when the benchmark interest rate rises.
Especially for Bitcoin cs, the additional negative sentiment that causes the price to continue to weaken is due to greenback whose performance continued to strengthen last week.
As one of the digital currency alternatively, the movement of Bitcoin also tends to be in the opposite direction to the US dollar. When greenback If it strengthens, there is a chance for Bitcoin and other cryptocurrencies to weaken because this alternative currency is mostly traded in US dollars.
However, in the morning around 06:00 WIB, based on data from CoinMarketCap, Bitcoin price has started to strengthen again, which rose 2.33%. Despite strengthening, Bitcoin is still trading at around the level of US $ 35,000.
Not only Bitcoin, the prices of other cryptocurrencies such as Ethereum, BNB, Cardano, and others are also monitored rebound.
(chd / vap)