Draconi writes: The price of Bitcoin dropped from it's March 6th, 2020 high of $9,126 to under $5,800 today as market sell-offs accelerated with the S&P and Dow Jones dropping 7% in early hours trading. Bitcoin, long considered to be a safe-haven during times of economic stress, currently costs at least $4,313 in electricity per coin to generate. The latest drop has wiped out all 2020 gains for Bitcoin and sent a ripple effect across other cryptocurrencies, with Ethereum down nearly 35%. While the bitcoin price has recovered slightly to around $6,000, the 24-hour low was $5,721 per bitcoin from just under $8,000 yesterday. Forbes notes that the bitcoin and cryptocurrency market as a whole "is now down a staggering $100 billion in the last seven days -- and has wiped out its year-to-date gains after starting the year at around $7,000 per bitcoin."
"Previously seen as a possible safe haven in difficult times, investors now seem to be selling out to take back liquidity in case the coronavirus spreads even further," said Simon Peters, analyst and crypto expert at multi-asset investment platform, eToro. Bitcoin's crash was also a result of oil cartel Opec's failure to agree to a supply cut last weekend, sending the oil price to historic lows.
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