01.07.2022 at 12h27
Paul Reinhard Wandji
The virtual currency has been experiencing a decline in value in the global market for the past few weeks due to inflation in many economies.
Bad news for many investors. Especially those using virtual currency, in this case, Bitcoin. For a few weeks, as reported by the economic website, Echo, the cryptocurrency has recorded its lowest level since its creation. During the month of June, it fell below 20,000 dollars therefore a fall from 40,000 dollars to 18,778 dollars.
This, as the Echo explains, is the result of tensions within the crypto industry that continue to accumulate. Added to this, there is the monetary, with in particular an American monetary policy that has become even stricter and the world economy also from the fall of the facts of socio-economic unrest such as the war between Ukraine and Russia.
“The US Federal Bank has confirmed the tightening of its monetary policy, leading to an increase in key rates to contain the galloping inflation resulting from the economic recovery and accelerated by the war in Ukraine. This caused a drop in global stock markets. The drop in bitcoin was also attributed to the suspension of withdrawals from the Celsius platform at the beginning of last week, which until now allowed investing in virtual currencies, “explains the website Journal du net. Other cryptocurrencies such as Ethereum or Cardano are not spared by their drops in value.
Today informs the Echo, the cryptocurrency market is at a fraction of its sums in 2021 when Bitcoin, for example, was trading at nearly 69,000 dollars. However, according to the Journal du net, this is not the first time that bitcoin has experienced such a drop. It had already fallen below the $30,000 threshold in June and July 2021.