Bitcoin and Ethereum Prices Drop as Cryptocurrencies Continue to Fall

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And it’s not just Bitcoin, as cryptocurrencies in general have had a dismal start to the year. Bitcoin has fallen more than 8% in the past 24 hours and was trading at $35,479 as of 9:30 a.m. ET, according to CoinDesk. The world’s most valuable cryptocurrency has fallen more than 20% since the start of the year. In November, it was trading at an all-time high of $68,990. His peers fared less well. Ethereum, the world’s second most valuable cryptocurrency, has fallen more than 12% in the past 24 hours and was trading at around $2,400 by mid-morning Saturday, according to CoinDesk. That’s down nearly 30% since the start of the new year. Investors have been wary of digital currencies and other riskier assets since the US Federal Reserve signaled it may roll back economic stimulus more aggressively than expected. Governments are also cracking down. On Thursday, Reuters reported that Russia’s central bank had proposed a ban on the use and mining of crypto. Russia is one of the biggest crypto-mining nations in the world, but its central bank has said digital currencies can pose a threat to the country’s financial stability. The Russian proposal comes just months after China launched a full-scale crackdown on cryptocurrency, banning both trading and mining. Other countries are also flirting with a crypto ban. In November, India said it was preparing to introduce a bill that would regulate digital currencies, although much is still unclear about this proposal. Earlier this week, Indian Prime Minister Narendra Modi said global cooperation was needed to solve the problems posed by cryptocurrencies. However, not everyone is pessimistic. Goldman Sachs said the price of bitcoin could reach over $100,000 within the next five years. In a report released earlier this month, analysts at the bank said they expected strong gains ahead as bitcoin steals more and more market share from gold.

CNN Business’ Ramishah Maruf contributed to this report.

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