Several of the largest cryptocurrencies including Bitcoin fell after an announcement from China’s central bank yesterday that all crypto-related transactions are now illegal in the country.
Bitcoin was stabilising around $44,000 (£32,152) early Friday, even touching $45,000 (£32,882.72) at a point, two hours after the announcement it had nosedived to $42,000 (£30,690.54) after China’s central bank announced further crackdown on the cryptocurrency. It is now climbing back up slowly at $42,743 (£31,233.47)as of this morning.
The global cryptocurrency market is down by about 3 percent in the last 24 hours due to this announcement but today is climbing back up as people ‘buy the dip’
Cryptocurrencies, including Ethereum (ether), Solana (SOL), and dogecoin are down by nearly 7 per cent compared to their values 24 hours earlier yet 48 hours later we see it climbing back up gaining over 3 percent
The latest statement from the Chinese officials says any business activities using digital currencies are illegal in the country.
Most of the drop in values of cryptocurrencies have happened within the last two hours but are back on track again, showing the power of this market and making more people take notice of its importance.
El Salvador has recently become the first country in the world to make the cryptocurrency Bitcoin legal tender