Crypto Market in Free Fall as Bitcoin Plunges to February Lows
The cryptocurrency market took a severe hit on Sunday evening as Bitcoin plummeted to levels not seen since February. This unexpected drop has left investors reeling, with many hoping for a rebound in the coming days.
BTC maximalists had been expecting a colossal surge, but instead, Bitcoin dropped 12% in just 24 hours and is now down 20% week-over-week. Ethereum fared no better, plummeting 21% in a day and losing 30% of its value over the past week.
Ethereum's losses have been particularly stark, erasing all its 2024 gains and falling 3% lower than on January 1st. The CoinDesk 20 Index also suffered, dropping 12% in 24 hours.
The Bank of Japan's interest rate hike last week is being blamed for sparking the market downturn. This move led to a surge in the yen, causing a ripple effect that spread to global markets. The Nikkei stock index tanked as a result, with investors waiting nervously to see how other countries will respond.