Bitcoin plunged after peaking at nearly 74,000 USD

Bitcoin plunged after peaking at nearly 74,000 USD Picture 1

Bitcoin price decreased 7.9% in the closing session on April 13, down to 61,842 USD, a loss of 5,308 USD compared to the previous closing session.

This is the first time this cryptocurrency has dropped the most in 2024 since peaking on March 14 with 73,794 USD. Thus, within a month, the world's largest virtual currency Bitcoin has plummeted 16.2% compared to its highest level this year.

Reuters reported on April 14 that, not only Bitcoin, the prices of other virtual currencies also recorded a sharp decrease in the past 24 hours, including Ether, down 7%, to below 3,000 USD; BNB is down 9% and Solana is down 12%.

It is currently unclear what caused the virtual currency market to decline sharply on April 13. However, experts predict that the decentralized finance (DeFi) sector has been significantly affected due to market chaos and the impact of political conflicts.

Expert Arthur Hayes, former CEO of BitMEX, said that liquidity in USD will decrease before the US tax payment is due on April 15. Low liquidity will affect the market price.

According to Mr. Arthur Hayes, bitcoin prices also decreased in response to the escalating conflict between Israel and Iran, especially when Iran conducted drone and missile attacks against Israel.

Before witnessing this decline, Bitcoin had a strong price increase from 34,000 USD in October 2023 to more than 73,000 USD (March 14, 2024). Cryptocurrencies surged 50% after the US Securities and Exchange Commission approved 11 Bitcoin spot exchange-traded funds earlier this year.

David Pac

Update 14 April 2024