Bitcoin loses more than 10% in two days

Bitcoin loses more than 10% in two days

(New York) Bitcoin was down sharply on Thursday, after having already recorded a sharp drop the day before, two days after statements by the future US Treasury Secretary, who suggested that the Biden administration could tighten the regulation of cryptomoney.

Published on January 21, 2021 at 2:57 pm

After dropping more than 4 per cent on Wednesday, Bitcoin fell 7 per cent on Thursday around 2:35 p.m. and traded at $32,448.59.

Janet Yellen, chosen by new U.S. President Joe Biden to head the Department of the Economy, told U.S. senators Tuesday that cryptomoney was « primarily used » to finance illegal activities and was a « particular concern ».

The government, she said, must examine ways to limit their use and ensure that they do not become a means of laundering dirty money.

« Janet Yellen’s statements did not help Bitcoin, but it is still up 40 percent from the end of December after peaking in early January, » said Lou Kerner, a cryptography specialist and author for Quantum Economics.

The price of bitcoin surpassed $40,000 for the first time on 8 January, after a spectacular surge of several weeks.

The world’s most famous cryptocurrency had then subsided before going on a roller coaster ride, a sign of its high volatility.

Several American media outlets also mentioned a report published on Wednesday by BitMEX Research as a possible cause of Bitcoin’s decline.

The research division of this cryptocurrency exchange platform reported a possible fraudulent transaction of Bitcoin, known as « double-spending » and allowing a user to use the same token several times.

However, these rumours have been denied by many Bitcoin specialists who have assured that they have not observed any suspicious movements.

Bitcoin loses more than 10% in two days
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