Infotech

Bitcoin collapses in 24 hours amid concern over Omicron variant



Posted on Dec. 2021 at 19:34

Once again, you better have your heart set on the cryptocurrency market. And even with the strongest of them, bitcoin. The queen of cryptos thus lost 10,000 dollars in less than an hour on the night from Friday to Saturday, or nearly 20%. It ended up recovering a little but remained affected, this Saturday, by the caution prevailing on the financial markets.

At around 7 p.m. (GMT) on Saturday, the virtual currency was trading at $ 48,392, down 11.8% on a 24-hour basis. Overnight, around 5 a.m., the crypto had suddenly dropped to $ 42,296, with no specific explanation a priori.

Shadow of the Omicron variant

“Cryptocurrencies have been shaken up by the broader risk conditions associated with [au variant] Omicron and the expectations of a [politique monétaire aux Etats-Unis] more aggressive, but really started nosing around on Friday, in the wake of the decline in equity markets, ”commented Martha Reyes, who heads research at the Bequant cryptocurrency exchange.

The main Wall Street indices have, in fact, ended in the red Friday, pulled by the weakness of technology stocks. The decline in bitcoin, used to violent movements, is not completely surprising insofar as the currency has been moving since the end of November in a limited trading range and that some investors may have wanted to unwind certain positions, still believes Martha Reyes in a commentary. note.

Large cryptos on the decline

Same feeling for Anto Paroian, of the fund specializing in cryptocurrencies ARK36. After hitting a record $ 68,363 on November 10, the virtual currency fell and “has repeatedly failed to cross the threshold of $ 60,000,” he said in a note. He recalls that bitcoin has regularly recorded drops of 20% to 30% before recovering.

Falling almost 12% in the past 24 hours, “BTC” has dragged most other cryptos in its wake. Ethereum, second in the market, lost 7.3% according to Coingecko. Binance coin, -6.3%, solana, -6.7%, cardano, -11.6% or even XRP, the eighth cryptocurrency, -15%. When bitcoin sneezes, once again the whole market catches a cold.

With AFP

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