Bitcoin sinks 8% due to the impact of a new variant of Covid-19 in the markets

The bitcoin plummeted nearly 8% this Friday after the discovery of a new variant of Covid-19 Potentially resistant to vaccines diminished interest in risk in favor of assets considered safer, such as government debt, the yen and the dollar.

The bitcoin, the largest digital currency, dropped 7.8% to $ 54,377, the lowest since Oct. 12. It was heading for its biggest drop in a day since September 20, down more than 20% since hitting a record high of $ 69,000 earlier this month.

Scientists said the variant, detected in South Africa, Botswana and Hong Kong, has an unusual combination of mutations and can evade immune responses or make it more transmissible.

The spread of (the variant), especially to other countries, could further weaken investors’ appetite, “said Yuya Hasegawa of Bitbank.

“The advantage of bitcoin it will probably be limited and the market should prepare for further losses, “he said.

The ether, the second-largest cryptocurrency by market capitalization, fell as much as 11.6% to its lowest level in a week. In the session it was trading at $ 4,070, down almost 18% from its record on November 10.

Leave a Comment