Bitcoin price has slumped to $43,030 from the high of over $47,700 on the 1st of January 2021. The prices of other popular crypto tokens like Ethereum, Solana, Cardano, Binance Coin etc also appear to be in a free fall since the start of the New Year, according to CoinMarketCap data.
The falling cryptocurrency prices have dampened the celebration mood of retail crypto investors. But the downward price movement in crypto markets is nothing new, hence not surprising for hardcore crypto enthusiasts.
According to Darshan Bathija, CEO & CO-founder Vauld, Bitcoin has largely been range-bound since the beginning of December 2021. However, the current price drop could be attributed to the uncertainties all markets are facing.
“The current price drop of BTC can be attributed to the uncertainty all markets are facing, with the spread of the Omicron variant,” said Bathija.
“We can expect two very contrasting things simultaneously – many investors will view this as an opportunity to buy the dip, while many will also try to cut their losses, leading to a sellers’ frenzy,” he added