Bitcoin dropped as much as 15% late Saturday, its biggest intraday drop since February, just days after hitting record highs.
It’s unclear what caused the sell-off.
The plunge in the world’s most popular digital coin came after reports attributed the decline to speculation that the U.S. Treasury may take action against money laundering that’s carried out using digital assets, according to Bloomberg.
The U.S. Treasury didn’t immediately respond to requests for comment from USA TODAY.
Separately, a blackout in China’s Xinjiang region, which reportedly powers a lot of Bitcoin mining, was blamed for the sell-off, Reuters reported, citing data website CoinMarketCap.
In 24 hours, the value of a bitcoin has shed 8%, falling from $60,884.85 to $52,810.06, according to CoinGecko, a crypto market data site.
The price of a bitcoin hit a low of $52,810.06 late Saturday after it tumbled more than $7,000 in a single hour, before the losses eased. Though the last time it touched that level was just three weeks ago on March 26. It was last trading at $56,044.49.
Bitcoin is down 14% from its high of $64,895.22 on Wednesday. At one point, it slid nearly 20% from its all-time high over the weekend.
Despite the declines, Bitcoin is valued at more than $1 trillion following a nearly 700% surge in the past 12 months.
Other cryptocurrencies also fell over the weekend. Ether, the second-biggest digital currency by market value, fell 7%.
Last week, bitcoin prices topped $64,000 as Coinbase, the largest U.S. crypto exchange, made its public debut on the Nasdaq.
The Coinbase listing, which was viewed as a landmark event for the cryptocurrency industry, has attracted amateur traders.Get the Coronavirus Watch newsletter in your inbox.
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The sharp rise in the value of bitcoins recently has led to worries of a potential bubble in the cryptocurrency market, some analysts warn, with bitcoin more than doubling since the start of 2021. About 74% of those surveyed in Bank of America’s latest global fund managers report said the world’s most popular digital coin is a bubble.
Bitcoin has been highly volatile. In late 2017, the digital token rose to nearly $20,000, before crashing to almost $3,000 the following year.