The development of the crypto market was seen getting worse when the latest Bitcoin price fell below the $ 30,000 level on Wednesday for the second time this week after the latest data showed inflation was still growing near a 40 -year high.
The price of Bitcoin has fallen about 7% to $ 29,196.10 in 24 hours. Ethereum was down 8% to $ 2,160.46 after the report was released.
The fall in the crypto market coincided with a fall in the futures stock market when the Bureau of Labor Statistics reported consumer prices for April jumped 8.3%, a higher reading than expected by economists surveyed by Dow Jones.
This has worried investors causing them to take out holdings in risky assets including cryptocurrencies. Cryptocurrencies remain highly correlated with equities. Futures markets are tied to major stock indices when traded lower.
This is the second time this week bitcoin has fallen into the $ 29,000 range. Analysts have called $ 30,000 the key level for the largest cryptocurrency by market limits, and said it could fall even further if it can’t stay there.
This is the second time this week the price of bitcoin has fallen to the $ 29,000 range. Analysts view the $ 30,000 level as the main support level for the largest cryptocurrency by market limits, and say it could fall even further if BTC is unable to survive.
In retrospect, last week Bitcoin just hit a recent high of $ 40,000 but quickly bounced back the next day and continues to hit new lows ever since.
On the other hand, Coinbase is also facing pressure as revenue has fallen 35% year -over -year to $ 1.16 billion. The company has blamed the crypto market, but is still optimistic.
