Hit by investors’ weakening sentiment, cryptocurrency prices continued to decline as Bitcoin traded below $42,000. The world’s largest digital token was down over 1% to $41,900. Bitcoin has slipped more than 9% since the start of this year. Meanwhile, the global cryptocurrency market cap today tanked 2% to $2.07 trillion, as per CoinGecko.
Ether, the coin linked to ethereum blockchain and the second largest cryptocurrency, plunged more than 1% at $3,125, as per CoinDesk. The token surged about 400% last year, compared with a gain of 60% for Bitcoin. Ether is down about 15% in January.
Similarly, Dogecoin price also dipped a per cent to $0.16 whereas Shiba Inu fell nearly 3% to $0.000027. Similarly, Binance Coin was lower at $467. Other cryptos like Cardano plummeted over 11% whereas XRP, Polkadot, Tether, Litecoin Solana, Terra, Stellar were also trading with cuts over the last 24 hours.
The crypto industry has faced several regulatory pushbacks in the recent days, as scepticism toward the rapid growth of the digital assets spreads across the globe.
Crypto exchanges are set to be a primary focus of the US Securities and Exchange Commission’s crackdown on digital assets in 2022. SEC Chair Gary Gensler said on Wednesday that he’s hopeful that trading platforms will take steps in coming months to be more directly regulated by Washington’s financial regulators, as reported by Bloomberg.
On the other hand, Crypto funds witnessed fifth straight week of outflows, said the digital asset manager CoinShares’ report, as digital asset investment products saw net outflows of $73 million for the week ended 14 January.