Reason for the downward trend: The FED warns of cryptocurrencies. (archive image)
The oldest and largest cryptocurrency by market value, Bitcoin, fell 1.2 percent to $23,746 on Wednesday followingnoon. It is thus tending towards CHF 20,000 once more.
At the start of the week, the Bitcoin price rose briefly above the $25,000 mark for the first time since mid-June. The previous evening, the Fed had warned financial firms regarding the risks associated with crypto assets. The currency watchdogs named dangers for consumer protection and financial market stability.
Crypto money rides a roller coaster
Banks should therefore check carefully whether their crypto transactions are legal and inform the supervisors of their plans in advance. Initially, this did not have a direct impact on crypto prices.
Like other cryptocurrencies, Bitcoin started an unprecedented rally almost two years ago. At the beginning of September 2020, it cost a good $10,000 before the value increased regarding sixfold in six months. Last November, bitcoin hit a record high above $69,000 before slipping below $17,000 by mid-June. (SDA/uro)
