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| Representation of cryptocurrency bitcoin is seen in this Nov. 29, 2021, illustration. Reuters-Yonhap |
Bitcoin dropped in value again Saturday, down around 4 percent for the day and hovering at the $35,000 level.
The world's biggest and best-known cryptocurrency, is now about half its $69,000 peak reached last November; and was valued at $35,049, after falling as low as $34,000, following a steep drop Friday.
The currency has seen wild price swings as risk appetite has fallen on inflation fears and the anticipation of a more aggressive pace of interest rate hikes from the U.S. Federal Reserve.
Other risk assets have fallen with stocks falling Friday ― the SP 500 and Nasdaq recorded their biggest weekly percentage drops since the start of the pandemic in March 2020.
In a research note Friday, Edward Moya, senior market analyst for the Americas at OANDA, said bitcoin was falling as "crypto traders de-risk portfolios following the bloodbath in stocks," and in advance of next week's Federal Reserve policy meeting.
"Bitcoin remains in the danger zone and if $37,000 breaks, there is not much support until the $30,000 level," Moya wrote Friday.
Ether, the coin linked to the ethereum blockchain network, dropped 6.7 percent to $2,396, Saturday. (Reuters)
