Monday, Bitcoin suddenly plummeted, amid increased worries as the young digital currency system is growing fast.
The deterioration came as major U.S. technology stocks fell for a straight second day on concerns that the sector has elevated to unsustainable levels.
Not less than two major bitcoin exchanges had problems, though a new blockchain project elevated a record high level of funds the same day.
“We can see greed exhibited in the open,” said William Mougayar, “The Business Blockchain: Promise, Practice, and Application of the Next Internet Technology, author. “This is not good for the overall ecosystem. Eventually, something normal will win through.”
Bitcoin climbed above the psychologically key $3,000 level Sunday hitting a record high of $3,041.36, as per CoinDesk. The gains were assisted by news that several major Chinese bitcoin exchanges were giving withdrawals of the currency after a month’s long interval.
However, a sharp move lower Monday afternoon ET showed how volatile the cryptocurrency can turn to be. Bitcoin dropped suddenly over 16 percent to $2,532.87 before slightly recovering, showed the data of CoinDesk. The digital currency improved after 9:00 p.m to trade near $2,721 shortly.
Even with the decline on Monday’s, the bitcoin remained over 150 percent higher for the year so far. The currency topped the $2,000 level on May 20, four weeks ago.
But by nearly 5:00 p.m. of the U.S. time, the company updated it had “identified and resolved the issue causing high traffic today.”