The price of the most famous cryptocurrency in the world fell sharply as investors sensed risks amid the decline in stock markets globally, as despite the fact that Bitcoin has been called a “safe haven”, the reality shows the currency’s tendency to decline amid the state of decline in the markets for risk assets that include private stocks. The rise of Bitcoin this year coincided with the rise in similar investment markets, and just like stocks, the currency suffers from a sharp decline this September.
Bitcoin lost 10% of its value Monday morning, and in its last trade it recorded $44,075.9, down 7%, and the broader digital market was affected by these fluctuations as well, with ether declining by 7% to record $3,113, and it is reported that the price of Bitcoin crossed the $50,000 threshold earlier this month to cross the level of psychological fears among traders, as some call it.
But the currency’s movements are now less than its average movement during the past 50 days, which is equal to 46,514 dollars, a value that analysts and investors are looking for as an indication of the currency’s direction in the medium term to rise or fall.
Investors are currently trying to wait until tomorrow’s closing price to determine whether they will reduce their exposure and investment in the currency or take long-term risks, and the cryptocurrency’s decline comes at a time when its market is witnessing intense regulatory campaigns and uncertainty about its stability.
The US Financial Stability Oversight Board has classified the cryptocurrency market as a risky investment in terms of its operating system, which may expose it and its users to severe oversight. It is worth noting that with the decline of bitcoin, gold futures rose 0.8% to $1,765.7 an ounce.