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Bitcoin (BTC) dropped to a 52-week low of $18,993 as the top cryptocurrency continued its downward trend overnight.

After staging a comeback, Bitcoin is trading for roughly $19,140 per coin, down 4.8 percent on the day.

BTC has lost nearly half its value in the last month due to major inflation concerns and rate hikes announced by central banks such as the U.S. Federal Reserve.

Bitcoin market valuation has fallen from $1.27 trillion in November 2021 to less than $366 billion.

Ethereum, the second-largest cryptocurrency in market cap, has also slipped to around $1,030, a 9% decline over the past 24 hours.

With its current market capitalization of under $125 billion, ETH is down 80% from its all-time high of $4,891.70, recorded in November 2021.

The inflation rate peaked at 8.6%, forcing the U.S. Fed to increase the interest rate by 0.75% has been a major factor in the recent bearish action.

Bank of Canada also raised its interest rate from 1% to 1.5% earlier this month. With increased interest rates, bond yields have spiked, reducing demand for high-risk investment assets, including cryptocurrencies.

The total value locked (TVL) across all blockchains is down over 3.6% in the past 24 hours, indicating a reduced user interest.