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Bitcoin stems heavy losses but pessimism reigns in crypto markets

Bitcoin stems heavy losses but pessimism reigns in crypto markets

25 Sept 05:32 Key points summarised by AI
  • Bitcoin stabilized after plunging to an 18-month low, yet remains significantly down this year, reflecting widespread market volatility.
  • Major crypto lender Celsius Network froze withdrawals and transfers, citing "extreme" market conditions, intensifying panic and fears of contagion across the crypto ecosystem.
  • The overall crypto market value dropped below $1 trillion for the first time since January 2021, driven by Celsius's liquidity crisis and expectations of sharp U.S. interest rate hikes.
  • Pessimism dominates as investors dump risky assets amidst high inflation and previous crypto collapses, with concerns over potential wider consequences for major bitcoin holders like MicroStrategy.
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