icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm

Bitcoin plunges below $10,000 as cryptocurrency sell-off continues

Bitcoin plunges below $10,000 as cryptocurrency sell-off continues
The digital currency market is extending its losses, with all the major cryptocurrencies on a broad sell-off. Bitcoin is headed for its worst monthly slide since December 2013.

The market leading digital currency slid 12 percent on Wednesday to $9,817, before recovering slightly above $10,000, according to the CoinMarketCap website. Its market cap is currently around $170 billion, down about 28 percent this month.

Rival cryptocurrencies ethereum, ripple and stellar have taken hits as well.

Ethereum, the second-largest digital currency by market cap, traded about 6 percent lower, near $1,104. Ripple plunged more than 9 percent to $1.15.

Some experts have attributed the fall to the US regulators’ ramping up scrutiny of one of the world’s largest virtual currency exchanges. They also pointed to Facebook’s ban of ads tied to the industry.

The US Securities and Exchange Commission announced on Tuesday it obtained a court order to freeze the assets of an initial coin offering claiming to have raised $600 million.

US Treasury Secretary Steven Mnuchin said the Treasury wants to make sure cryptocurrencies are not used by money launderers.

“I also want to make sure that consumers understand the issues around cryptocurrencies,” Mnuchin said.

Benjamin Roberts, co-founder and CEO of Citizen Hex, an ethereum-focused start-up backed by three Canadian venture funds, attributed the sell-off to uncertainty around bitcoin's ability to improve transaction efficiency and the future development of ethereum.

He expects ethereum to become the dominant cryptocurrency this year. “We'll continue to see volatility measured in dollars until [ethereum] has significantly topped the bitcoin platform in terms of market cap,” Roberts was cited as saying by CNBC.

For more stories on economy & finance visit RT's business section

Dear readers and commenters,

We have implemented a new engine for our comment section. We hope the transition goes smoothly for all of you. Unfortunately, the comments made before the change have been lost due to a technical problem. We are working on restoring them, and hoping to see you fill up the comment section with new ones. You should still be able to log in to comment using your social-media profiles, but if you signed up under an RT profile before, you are invited to create a new profile with the new commenting system.

Sorry for the inconvenience, and looking forward to your future comments,

RT Team.

Podcasts