Bitcoin hits rock bottom with a record low of 14-week after as the sell intensifies
The statement made by the Tesla CEO stating that they have to suspend vehicle purchases in bitcoin, which has some environmental concerns attached to it over the computational mining process.
Bitcoin, a digital cryptocurrency, fell sharply which continues the trends after a major sell-off that has been going on for over a week. The cryptocurrency has hit a dip of over 10% thereby hitting an intraday low of USD 40,257.80 which is recorded to be the lowest level since Feb. 9’ 2021. Some negative news and allegations over the past week has dampened the sentiments of investors toward bitcoin making them to sell it off rather than holding it ffor good returns.
The statement made by the Tesla CEO stating that they have to suspend vehicle purchases in bitcoin, which has some environmental concerns attached to it over the computational mining process. It is where high-powered computers are leveraged for solving complex mathematical puzzles thereby enabling transactions in bitcoin. Tesla CEO’s remarks had caused tensions amid the crypto market which led to USD 300 billion being wiped off the entire market.
The announcement of suspension for bitcoin payment came in after three months when Tesla revealed that it purchased USD 1.5 billion worth of bitcoin, and is expected to start accepting bitcoin in exchange for the products.
Accompanied by this comes a statement from three Chinese banking payment industry which comes as a warning for financial institutions to not conduct cryptocurrency related transactions, which includes exchanging and trading fiat currency for cryptocurrency. Traders in China had previously accounted for major share in the bitcoin market however after the negative news, their influence has been reducing significantly.
Bitcoin is confronting a dip of about 37% after hitting all-time high of USD 64,829.14 which was hit back in April. Bitcoin investors stated that they see USD 40,000 at a buy level for the digital currency. The currency is expected to make a return and have another leg up. And the investors stated that they are not guessing but are assured.
