Price of Bitcoin drops around 10 percent amid fears over Fed’s actions
Date
12/22/2024 4:03:33 AM
(MENAFN) Bitcoin’s price experienced a significant drop of approximately 10 percent, sparking concerns over potential actions by the Federal Reserve to combat inflation. The cryptocurrency fell to USD92,800 by 1300GMT, further declining to about USD96,000 by 1400GMT, a sharp decrease from its previous value of USD102,800 on Thursday.
The decline in Bitcoin's value comes amid ongoing fears surrounding the US economy's strength. There are growing concerns that the Federal Reserve may take longer than initially expected to conclude its fight against inflation. This uncertainty has contributed to selling pressure, particularly on riskier assets like cryptocurrencies, which are highly sensitive to shifts in economic policy.
As a result of this decline, Bitcoin's market capitalization stood at USD1.88 trillion, marking a noticeable decrease in the value of the world's largest cryptocurrency. The drop reflects broader sentiment in the crypto market, which has been fluctuating with the economic conditions and central bank decisions in the United States.
In addition to Bitcoin’s struggles, Ethereum, another leading cryptocurrency, also saw a sharp loss of 10.5 percent in value by 1400GMT, bringing its price down to USD3,290. The losses in both cryptocurrencies indicate a broader pullback in the market, as investors react to the economic outlook and the potential for continued tightening by the Federal Reserve.
MENAFN22122024000045015839ID1109020833
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.