Bitcoin Pared 15% Losses, Tumbling the Most since February

The catalyst of Coinbase Global Inc. listing lase week drove crypto assets to records before turned on itself over the weekend.

Crypto volatility was immense, spreads were widened during the weekend. Sunday to the dismal of cryptocurrency traders, Bitcoin had a sharp and rapid decline of 15% from $64,870 to near $57000 as Monday morning, triggering margin calls and stop-losses during the short squeeze. 

According to ZERO Market’s MT4 platform, the second-largest token, Ether, also fell below $2000 over the weekend. The only winner appeared to be the meme token – Dogecoin – that surged more than 25% over 24 hours.

The significant bull back over the weekend came after the crypto market cap surged past $2.25 trillion amid the demand for crypto in the run-up to Coinbase’s direct listing on Wednesday. Coinbase closed the week with a $68 billion market cap, larger than its owner – the New York Stock Exchange.

The pullback over the weekend was inevitable in hindsight, as the market was skewed too one-way amid the frenzy. Dogecoin, which was once created as a joke and has no fundamental value soared more than 180% on Friday to more than 50 billion market cap before stumbling Saturday. Dogecoin is currently trading near $US0.33 cents.

The pullback in crypto on Sunday was speculated to be associated with a potential crackdown by the US Treasury on money laundering concerns through digital currency. The Financial Crimes Enforcement Network (FinCEN) had responded that they are not commenting on whether a potential investigation is underway or not. 

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