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Bitcoin, Ethereum crash to record low amid crypto winter

The world’s largest cryptocurrency further tanked 7 percent over fears of risk-off sentiment due to a sharp rise in inflation globally, especially in the US.

IANS | New Delhi |

The crypto winter hammered cryptocurrencies on Monday as the price of a single Bitcoin fell sharply to around $25,600, an 18-month low.

The world’s largest cryptocurrency further tanked 7 percent over fears of risk-off sentiment due to a sharp rise in inflation globally, especially in the US.

Bitcoin (BTC) had reached an all-time high of over $68,000 in November 2021 and has fallen more than 60 percent since then.

According to analysts, Bitcoin may hit a grim $14,000 this year at this rate.

In a Twitter thread, Venturefounder, a contributor at on-chain analytics platform CryptoQuant, forecasted 2022 as Bitcoin’s year to “capitulate”.

“In the next 670 days, BTC will capitulate in the next 6 months and hit cycle bottom ($14-21k), then chop around $28-40k in most of 2023 and be at ~$40k again by next halving,” one of the tweets read.

The likely bottom range at $14,000 would represent a drop of around 80 percent for Bitcoin from the $68,000 all-time high.

Ether (ETH), the second-largest cryptocurrency, also fell considerably.

Ethereum prices were hammered over the weekend, sending the world’s second-largest digital asset back below its 2018 peak.

On-chain analytics provider Glassnode reported that the Ethereum market has fallen below the ‘ETH Realized Price’ of $1,781.

On Monday, the cryptocurrency plunged to $1,355, resulting in unrealized losses of more than 40 percent.