Cryptocurrency apocalypse: Bitcoin price fell below $18,000, while Ethereum costs less than $1,000

Cryptocurrencies continue to get cheaper, and investors withdraw billions of dollars from risky assets.

What happened

All major digital currencies have been falling in price for the second week. The main reason is called record inflation in the United States. Analysts also suggest that the US Federal Reserve will tighten monetary policy, and by the end of summer the key interest rate is expected to increase.

Against the background of the outflow of fiat funds on June 18, the market capitalization of cryptocurrency bitcoin was less than $370 billion. At the same time, the cost of the coin itself fell below $18 000, which is an anti-record since the end of 2020.

Ethereum also depreciating rapidly. The market capitalization of the second cryptocurrency is less than $130 billion. At the same time, the value of the asset on June 18 was less than $900. Here another reason is the attack on $stETH, after which the company Celsius, which uses the stacked ETH, lost money to buy back investor positions.

Note that on cryptocurrency exchanges, in theory, coins can become cheaper even to zero per day. In past years bitcoin could lose up to 80% of its price during the day. It is unlikely that this will happen again, but such an outcome cannot be ruled out.

Source: Coinmarketcap