Bitcoin briefly dropped below the $10,000 mark for the first time since its meteoric rise in 2017, as governments around the world crack down on the digital currency.
South Korea – the third-biggest market in the world for bitcoin trades – is the latest country to announce tougher regulation, saying it will tax the country’s digital currency exchanges.
The news caused a sharp fall in the price of Bitcoin from a high of $19,343 on 16 December to $9,976 at 11.48am (GMT), before recovering to $10,341 by 12.48.
The global crackdown by regulators has hit all of the major cryptocurrencies.
Ethereum, the second biggest digital currency by market capitalisation, also fell, sliding steadily to $946 by 12.45am, after hitting $1,166 in weekend trading, although earlier this month it reached an all-time high of $1,357.
‘Not an investment we would advise’
Ripple, the third largest digital currency, fell to $1.19 at 11.40am, down from $1.35 in overnight trading. On 4 January it stood at over $3.