The cryptocurrency market started Friday with a 10% drop. The total value of the market fell below $ 1.4 trillion. Bitcoin and altcoin prices decreased by up to 20%. This drop is thought to be triggered by the rising bond yields.
Bitcoin price dropped below $ 45,000 on Friday for the first time since Feb. 11. Ethereum, Binance Coin, Cardano, Polkadot and XRP prices fell by up to 16%.
- Decline in cryptocurrencies: The total value of the market had risen to $ 1.8 trillion this week. The market, which fell below $ 1.4 trillion on Friday, lost $ 400 billion in four days.
- The situation in the stock markets is no different: The cryptocurrency market is not the only market that started with a decline on Friday. Nikkei 225 dropped 4%. 7 points in the FTSE 100 in England; There was a 96 point decrease in DAX in Germany and a decrease of 43.68 points in BIST 100.
- Gold is losing value: The price of ounce of gold has decreased to $ 1.759 with a decrease of 11 points. The purchase price of gram gold fell to 417.13 liras.
What is the reason for the decline in the markets?
- Dollar gains strength: The dollar, which declined at the beginning of the week, was traded from 7.2240 lira yesterday, and rose to 7.44 lira at 09:30 this morning.
- Bond yields are rising: The yield of 10-year treasury bonds in the US climbed to 1,550% on Thursday. The rise in bond interest is thought to lead to money outflow from risky markets such as crypto money.
- The economic outlook is positive: the number of unemployed in the country has decreased significantly compared to the previous week, according to data published in the US on Thursday. Bond yields soared after the vaccine news and inflation expectations.