The Crypto market sees the biggest bloodbath of 2021 as all major cryptocurrencies drop massively. The leading cryptocurrency fell as low as $31,000 for the first time this year before gaining a couple of thousands at the time of writing. The second-largest cryptocurrency Ethereum also lost as much as 40% during the biggest market crash of 2021. The meme-based cryptocurrency Dogecoin also lost 45 percent.
Bitcoin is down 50% from its all-time high of $65,000.
Bitcoin is now down more than 50 percent from its record of almost $65,000 set in April. Bitcoin has erased all gains it clocked up following Tesla’s announcement that it would use corporate cash to buy the asset and accept it as a form of payment for its vehicles earlier this year. Tesla took a u-turn on its decision last week, citing environmental reasons resulting in a massive selloff. Fueling the volatility is Tesla CEO Elon Musk, whose recent comments on Bitcoin did not sit well with the crypto community. A statement from the People’s Bank of China on Tuesday claiming that cryptocurrencies can’t be used as a form of payment also added to the selloff.
Coinmarketcap goes down amid the market crash.
One of the leading crypto data websites, Coinmarketcap.com, was also seen down during the market crash. One of the leading crypto exchanges, Binance, also witnessed some glitches as some users complaint of faulty charts being shown on the exchange amid the market crash. The recent market crash came on the heels of several regulatory concerns and general sentiments about how bitcoin mining is an environmental concern that should be dealt with. Tesla also cited such reasons for suspending bitcoin payments. The crypto market has started to recover as the leading cryptocurrency is now trading up $35,000.