Sad Day for Investors as Crypto Prices All Turn Red

Following a period of low volatility since the beginning of the year, crypto prices have unprecedently gone into free fall with bitcoin losing $3,000 (339,300 shillings) in a matter of hours.

The bitcoin price dropped from more than $47,000 (5.316 million shillings) per bitcoin to below $44,000 (4.976 million shillings) representing a percentile fall of close to 40 percent.

Similarly, all other major coins such as Ethereum, Binance’s BNB, Solana, Cardano, and XRP have also plummeted losing between 3 percent and 5 percent wiping billions of dollars of value from the combined $2.1 trillion crypto market.

During the last two years, bitcoin prices hit over 500 percent with other cryptocurrencies including Ethereum and its rivals making significant gains as money flooded markets.

The crypto market soared to $3 trillion in late 2021, up from $200 billion in early 2020.

The free fall of the crypto prices follows the shutdown of the internet in Kazakhstan, which is now a major bitcoin, Ethereum, and cryptocurrency mining hub as a result of China’s expulsion of miners through 2021.

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Crypto miners use powerful computers to secure cryptocurrency blockchains and validate transactions in return for freshly minted coins.

Kazakhstan is now considered to host as much as 18 percent of the world’s bitcoin mining power, according to research from the Cambridge Centre for Alternative Finance.

On 5^th January, Coindesk reported crypto mining in Kazakhstan “is likely to be hurt” due to the country’s largest internet service provider shutting down access to the internet in response to protesters storming government buildings over sky-high energy costs.

“I guess some geeks would say that in theory, you could mine without internet, but in practice, all the machines in Kazakhstan should be turned off because of the internet shutdown,” said Jaran Mellerud, a researcher at Arcane Research.

Crypto Prices Today – January 6, 2021

The prices of the top 10 cryptocurrencies on January 6 are all red. The prices have been falling for the past 24 hours. Here are the top 10 cryptocurrency prices you should check before investing.

• Bitcoin (BTC)- US$43,016.82 (down by7.43 percent)
• Ethereum (ETH)- US$3,463.09 (down by 9.23 percent)
• Binance Coin (BNB)- US$466.44 (down by 8.97 percent)
• Tether (USDT)- US$1.00 (down by 0.02 percent)
• Solana (SOL)- US$149.49 (down by 11.62 percent)
• Cardano (ADA)- US$1.21 (down by 8.92 percent)
• USD Coin (USDC)- US$1.00 (down by 0.05 percent)
• XRP (XRP)- US$0.7569 (down by 8.92 percent)
• Terra (LUNA)- US$76.21 (down by 10.81 percent)
• Polkadot (DOT)- US$25.91 (down by 12.80 percent)