Bitcoin falling

On May 10, the dollar collapsed below the $30,000 mark, something last seen in the summer of last year. And there was a link to the US stock market as a whole due to aggressive tightening of the Federal Reserve’s policy.

It is worth noting that the decline has been observed for 5 sessions in a row, and last time bitcoin collapsed by almost 10%. Overall, as of May, the cryptocurrency has collapsed by 19%, thereby losing more than half of its total value. As for the all-time high, the amount reached the $69,000 mark.

Market volatility depends a lot on speculation. And because bitcoin is quite speculative, its value, like the market as a whole, is also falling.

Likewise, the world’s second largest cryptocurrency, Ethereum, has collapsed and is now worth just over $2,000. But even with the overall weakness in the entire crypto system, funds and products, there was an increase in funds last week, where the total reached $45 million. 

One of the most prominent experts expressed his own opinion about the fall situation stating that numerous investors were taking advantage of the situation. This led to an influx of $40 million into the crypto sector.

Already over the weekend, some factors indicating a fall began to emerge. And it is important to note that there was already low liquidity at that time.  And an important factor was the tense and unclear situation with Terra USD, which could lose its peg to the dollar. It is also an important instrument, which is pegged to classic assets, including the dollar. And the situation is being monitored particularly closely, precisely because of the peg to the dollar.