Ethereum fell 9.4% to – $2,600
As the crisis in Ukraine deteriorated, Western countries slapped more sanctions on Russia after the Russian president refused to stop invading his neighbor. Bitcoin fell below $40,000, while Ethereum dropped 9.4%.
Over the weekend, the largest cryptocurrency by market capitalization plummeted roughly 5% to about $37,450, with Ether momentarily falling below $2,600.
Decline in Cryptocurrency Market Indicates Lower Opening for Stocks
The cryptocurrency market’s decline followed a global rise on Friday, when the S&P 500 index rose 2.2 percent. The token’s decline suggests a lower, or at best, muted stock open on Monday, with bitcoin’s stock correlation approaching an all-time high.
According to analysts, Bitcoin has remained much above the $32,970 low it reached on January 24, according to Bitcoin. It is now in the oversold zone. According to Graycale Investments, any gain in cryptocurrency prices in the face of unfavorable news suggests that sellers are tired of the present turmoil.
A solid rally may drive Bitcoin to $50,000 to $55,000, according to Rick Bensinore, President of Bensignor Investment Strategies.
However, it appears that there is a dispute about bitcoin’s hash rate, which is the amount of computer power used to mine and process transactions on the network.
“The crisis in Ukraine has damaged many miners, both in Ukraine and in Russia,” Hayden Hughes, CEO of the social media trading portal Alhpa Impact, noted.