New Delhi: The prices of Bitcoin, Ethereum, and other cryptocurrencies have dropped significantly. While Bitcoin is down 0.91 percent, Ethereum is down 1.03 percent, according to details on the worldcoinindex website.Read also - Cryptocurrency: No Proposal to Recognize Bitcoin as Currency in India, Says Center in Parliament
Terra's price fell 5.69 percent, Polygon fell 6.69 percent, Solana fell 2.33 percent, Ripple fell 0.47 percent, Caradno fell 0.67 percent, Binancecoin fell 2.08 percent, Shiba Inu fell 1.53 percent. percent, Decentraland fell 3.41 percent, Polkadot fell 3.26 percent, Litecoin 0.97 percent, Gala fell 0.97 percent, Tether was down 0.03 percent, according to details at worldcoinindex. Read also - Bitcoin, Ethereum, and other prices plummet as India moves to ban cryptocurrencies
Bitcoin and other cryptocurrencies fell sharply last week, another sign that investors were pulling out of riskier bets after the week's stock market sell-off, according to an IANS report. Read also - Bitcoin ban: full list of countries that have banned cryptocurrencies
Concern in the stock market over the new Omicron variant of Covid-19 and the Federal Reserve's response to inflation could have played a role, according to the IANS report.
Another possible factor accelerating the bitcoin sell-off was the unleashing of heavily leveraged crypto derivatives, said Noelle Acheson, head of market knowledge at cryptocurrency Genesis Global Trading. It signaled a large sell order that could have prompted margin calls and sell-offs for investors, the IANS report added.
Higher rates make holding speculative assets like bitcoin less attractive. When the Federal Reserve raised rates in 2017 and 2018, bitcoin prices fell dramatically, which crypto fans refer to as bitcoin winter. The currency took off again during the pandemic. Bitcoin reached an all-time high on November 9 of $ 67,802.
