Fears of cryptocurrency turmoil after bitcoin losses hit $900bn

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The cryptocurrency industry is braced for further turmoil after more than $900 billion was wiped off the bitcoin market since last year’s peak.

The price of bitcoin languished at about $19,600 late yesterday amid volatile trading over the weekend, falling below $20,000 for the first time since November 2020.

The sell-off represents a 71 per cent decline in the value of the most actively traded cryptocurrency from its peak of $68,999.99 in November last year. Ethereum, the second most popular cryptocurrency, has fallen by 78 per cent during the same period.

Rampant inflation and tightening monetary policy have made bitcoin less attractive to investors, who had been willing to take more risk on speculative investments while interest rates were at record lows. The deepening rout