3 shocking facts from crypto's Black Monday
1. Bitcoin is now at its lowest level since 2020
The world's leading digital asset, $Bitcoin(BTC.CC$, fell as much as 17% on Monday to below $23,000, the lowest it's been since 2020. $200 billion wiped off crypto market over the weekend.
Meanwhile, a crypto lending company called Celsius has paused withdrawals for its customers "due to extreme market conditions," sparking fears of contagion into the broader market.
While supporters are still "buying the dip," some industry analysts have warned things could get worse before they get better.
Meanwhile, a crypto lending company called Celsius has paused withdrawals for its customers "due to extreme market conditions," sparking fears of contagion into the broader market.
While supporters are still "buying the dip," some industry analysts have warned things could get worse before they get better.
2. Elon Musk and Michael Saylor are nearly $1.5 billion underwater on their Bitcoin bets
$Tesla(TSLA.US$'s Elon Musk and $MicroStrategy(MSTR.US$'s Michael Saylor have been feeling the pain during the crypto winter this year, losing billions on previously profitable trades.
Tesla bought $1.5 billion or roughly 44,000 Bitcoin in February 2021, and for a time Musk and company were big winners as the cryptocurrency saw a dramatic price jump. After Monday's losses, Tesla is roughly $500 million underwater on its Bitcoin bet on paper, even after realizing gains of $128 million in March of last year.
For Microstrategy, Michael Saylor splashed out almost $4 billion on 129,218 BTC, approximately 0.615% of the 21 million total supply. The Bitcoin price nosedive has ripped away earlier gains: The investment is worth $3.1 billion ($3,074,987,824), a loss of $900 million. Plus, in premarket trading on Monday, Microstrategy stock (MSTR) plunged to its lowest levels in months.
For Microstrategy, Michael Saylor splashed out almost $4 billion on 129,218 BTC, approximately 0.615% of the 21 million total supply. The Bitcoin price nosedive has ripped away earlier gains: The investment is worth $3.1 billion ($3,074,987,824), a loss of $900 million. Plus, in premarket trading on Monday, Microstrategy stock (MSTR) plunged to its lowest levels in months.
3. Some Bitcoin mining machines are shutting down as prices drop
The drop in Bitcoin has been so dramatic that companies using older computers to mine the cryptocurrency shut them down on Monday as they weren't able to continue operating profitably.
According to the Bitcoin mining platform Bitdeer, the Antminer S11 and AvalonMiner 921—two widely used Bitcoin mining machines—officially hit their "shutdown price" after Bitcoin fell below $24,000.
Source: Forbes, Cointelegraph, CNBC
Source: Forbes, Cointelegraph, CNBC
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Shiddy Pumpkin : Very informative, amd concise. One point of contention, however: 18.9 Million Bitcoins are currently in circulation, and the last one will not be mined until 2140. 118 years from now.
Silverbat : Rare chance to buy
Geneva LL : my friend went nuts