Digital currency Bitcoin extends fall with more than 3% drop
07:52, 29 December 2021
Though well above its 1 January 2021 valuation of $29,400, bitcoin saw more price pressure overnight. At around 07:00 GMT the crypto was valued at $47,772, down from $49,315, 24 hours earlier – a 3.19% slump.
The main top ten fallers in the last 24 hours are solana, terra and polkadot, taking 7.96%, 7.14% and 4.1% falls. In the top 20, only fantom and tron have seen 24-hour gains, up 6.2% and 0.77% respectively.
Yesterday Capital.com reported that rising transaction costs are worming their way into valuations. While bitcoin reached an all-time high of close to $69,000 in November it has since seen a 30% deterioration in value.
Heightened scrutiny
Global regulators continue to warn about investor protection, market integrity and anxiety that cryptos have little fundamental value.
The 12-month gains look stellar, however, in some cases. Bitcoin was trading at close to $29,400 at the start of 2021 while ether, valued at $730 on 1 January, is now valued at $3,796 – a 420% rise. By any standards, a pretty good year.
But this is dwarfed by solana, which traded at around $1.52 at the start of the year. It’s now worth $176.74. An 11,544% rise.
Recently Twitter founder Jack Dorsey predicted that bitcoin, in time, will replace the US dollar.