Bitcoin Drops Bellow $ 40,000, and Ethereum Plummets

 

Bitcoin continued its downward spiral of volatility for a week, sliding below the $ 40,000 mark on Wednesday, as news of further restrictions on cryptocurrency transactions in China exacerbated earlier concerns raised by tweets from Tesla boss Elon Musk.

Bitcoin fell by 9% to 38,940.04 dollars, to be also below its average movements in 200 days.

Bitcoin is now down 40% from its highest levels this year, which it reached on April 14th at 64,895.22 dollars.

On Wednesday, Musk said Tesla would stop accepting Bitcoin as a payment method due to environmental concerns about the energy used to conduct associated operations.

Musk was supportive of the cryptocurrency markets with his enthusiasm for this class of assets but finally caused trading turmoil after it appeared as if he had withdrawn his support from Bitcoin.

Ethereum, the currency linked to the Ethereum blockchain network, fell about 15% to $ 2,875.36.