The Indian Wire » Business » The value of bitcoin falls below $6,200 first time in three months

The value of bitcoin falls below $6,200 first time in three months

In the last three months, the value of the bitcoin has gone down by 20%. This loss has so far been the highest after which there were major setbacks for the cryptocurrency along with a collapse in the global mainstream markets. As per the Bloomberg News, ever since mid-November, the virtual currency fell down to $6,190 for a unit which had seen a 26-fold rise last year. This collapse in the value of the currency has come just six weeks after the high record of the bitcoin to $19,511 with additional warnings of it falling down by another 50 percent.

There has been the news of crackdowns in the cryptomarket which comprises of a dozen other units by the governments of China, Russia, and South Korea. India has stated that all use of cryptocurrencies will be eliminated from the payment system. Concerns regarding the unit have been shown by Japan,  the Central bank in Europe and United States and a number of commercial lenders have stated that they will not allow the customers to buy the bitcoin through credit cards due to the debt concerns.

Though on one side there have been traders piling into equities and pushing global indexes in order to record multi-year highs, a growing concern on the trading floors about the elevated US treasury bond yields can be seen at four-year highs with the likelihood of the fresh increase in the interest rates of the Federal Reserve. The risk is hitting the Bitcoin as hard as the bank scrutiny and the global regulator according to the chief market strategist at AxiTrader Mr. Greg McKenna. The banks too have been saying that they will be closing down the ability of the clients to buy bitcoins using their credit cards as per the latest dent in the crypto space. This can also cause a full round trip into the $1850/$2966 region.

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