The explosion of cryptocurrency prices seems to have come to an abrupt halt late on Monday night as a broad crypto sell-off commenced.
Bitcoin is the biggest and most notable move in the world of cryptocurrency, falling 5.8% in the past 24 hours.
The first is that China continues to be intent on eliminating crypto mining from the country.
But if investors own Bitcoin or another cryptocurrency as a hedge against inflation, rising rates and a rising dollar could cause them to unwind that trade.
We are also likely seeing a natural pullback in cryptocurrency values, which have run up over the past few weeks.
Volatility is commonplace in cryptocurrencies, and for weeks the volatility has worked in investors’ favor.
This is where investors with a long-term view of the cryptocurrency industry should stay focused on why they’re bullish on crypto and not just price movements.