Bitcoin, Etherum plunge amid regulatory crackdown on crypto transactions in China


Cryptocurrency markets collapsed on Wednesday after Chinese regulators signaled crackdown on the use of digital currencies.

The news from China saw Bitcoin, the largest cryptocurrency, continue to decline at $ 38, down 11 percent today. It is down more than 30 percent in a week.

Bitcoin had already been put under pressure by a series of tweets from Elon Musk, CEO of Tesla.

Musk had announced that Tesla will no longer accept Bitcoin as a form of transaction.

Ether, the coin linked to the Ethereum blockchain network, also fell to $ 1,850, its weakest level since late January.

It had last dipped 26 percent to $ 2,497 since hitting a record high on May 12 and the ether dropped 57 percent.

The recent sell-off pushed the market capitalization of all cryptocurrencies to $ 1.7 trillion from a record $ 2.5 trillion earlier this month.