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Bitcoin Price Drops Below $19,000

Bitcoin Price Drops Below ,000

The crypto winter continues and nothing says it’s ready to end towards the end of the year.

The cryptocurrency market experienced a sharp decline again on October 13th.

Bitcoin (BTC), the number one digital currency by market capitalization, has subsequently fallen below the token threshold of $19,000, according to data firm CoinGecko. This is the first time Bitcoin has moved to this level since September 22nd.

BTC price is hovering around $18756.12, down 2% in the past 24 hours, at the last scan. The cryptocurrency is now down 73% from its November 10 high at $69,044.77.

Ether (ETH) is down 4.2% to $1,244.75 in the last 24 hours. The second cryptocurrency by market capitalization has lost nearly 75% of its value compared to $4,878.26, a record high set on November 10, 2021.

With the exception of stablecoins, most cryptocurrencies are down. The prices of digital currencies linked to decentralized financial systems (DeFi), which are seen as the future of financial services, have fallen sharply. Cardano (ADA) stock is down 8.1%, Solana (SOL) is down 7.8%, and Polkadot (DOT) is down 5.5%.

The meme coins were also red. Dogecoin (DOGE) is down 5.3%, and Shiba Inu (SHIB) is down 7.1%.

Overall, the cryptocurrency market fell 3.2% to $933 billion. The crypto market reached $3 trillion in November 2021. But it lost more than $2 trillion in less than a year.

Investors are liquidating cryptocurrencies because they fear that the monetary policy of the Federal Reserve (Fed) will lead to the so-called hard landing of the economy also known as a recession.

The Fed raises interest rates to crush inflation, which is at its highest level in 40 years. This policy is criticized by many economists, who believe that the cure for inflation comes too late and too strong.

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Most risky assets, including cryptocurrencies, or growth are the first victims of this monetary policy.

New inflation data is due on October 13 and should give investors an indication of the direction the Federal Reserve will take at its next monetary policy meeting in November.

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