Weekly loss in Bitcoin tops 20 percent. Bitcoin has depreciated more than 20 per cent this week, helped by a strengthening dollar and rising US Treasury bond interest rates..
The Bitcoin rally of 2021 ended with one of the worst weekly losses. Bitcoin, the largest cryptocurrency, lost almost 21 percent this week, its biggest weekly loss since March.
The Bloomberg Galaxy Crypto Index, which tracks Bitcoin, Ether and other cryptocurrencies, is down 23 percent this week.
Bitcoin hovered around 57 thousand dollars at the beginning of the week, falling more than 12 thousand dollars and falling below 45 thousand dollars.
“The dollar is strengthening, “said Vijay Ayyar, General Manager of Asia Pacific at crypto exchange Luno, noting that risky assets have taken a hit. This is a good indicator to expect a decline in Bitcoin and other cryptocurrencies.” said.
Rising US Treasury bond interest rates are putting pressure on global risk appetite, and are also affecting the prices of non-interest-based assets such as gold and Bitcoin.
Thursday’s Friday interest rate on the 10-year U.S. Treasury bond rose more than 10 basis points to 1.60 percent, then hovered at 1.49 percent on Friday. US bond yields rose 15 basis points after starting the week at 1.34 per cent.
BA Many investors began to sell their coins anxiously.