Things seem to be getting worse for the once promising cryptocurrency.
Just yesterday, news began to emerge that Bitcoin had dropped below $8,000 in value, which was seen as an alarming figure. Fast-forward just 24 hours and the world's most recognizable cryptocurrency has continued its rapid descent. As the market opened this morning, Bitcoin took another discomforting tumble, dipping to $5,947.40 in value.
This past November, Bitcoin was worth an estimated $19,000, but has been on a sharp decline since early December. This recent plunge in value can be attributed to the fact that most major banks in the US and UK have banned customers from using their credit cards to purchase any digital cryptocurrency.
However, as Bitcoin's value continues its downward trajectory, many other cryptocurrencies have followed suit. Ethereum's price has plummeted from its January 9 peak of $1,255.89 to a measly $574.42, Bitcoin Cash, which was once worth $4,091.70 in late December, has fallen to $766.03, while Litcoin has dropped to a price of $106.94 from its $366.01 peak in late December.
China and Korea have already banned digital currencies in their countries, while Japan and Australia have taken significant steps to tighten regulations on Bitcoin. America will likely implement similar control over cryptocurrencies, as both the US Securities and Exchange Commission and the Commodity Futures Trading Commission will testify before Senate regarding digital currencies. The chiefs overseeing the SEC and CFTC are looking to implement stricter rules to help reduce fraud and market manipulation.