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Bitcoin Plunges Below $20K for First Time Since December 2020; Ether Drops Below $1K

Helping to send bitcoin back into the teens were the continuing plunge in traditional financial markets alongside spreading panic among crypto lending platforms.Read MoreFeedzy

Bitcoin (BTC) sank below $20,000 for the first time since December 2020, losing 9.5% in the past 24 hours. At time of publication, the largest cryptocurrency by market cap was changing hands around $18,984.1 after trading at a low of $18,739.50.

Ether (ETH), the second largest crypto, also continued its decline, falling 9.78% to about $992 at time of publication.

The crypto panic – which began a few weeks ago with the Terra ecosystem collapse and then spread to the Celsius platform – has moved on to hedge fund Three Arrow Capital, which reportedly had its collateral liquidated by crypto lender BlockFi.

Checking traditional markets, U.S. stocks saw more massive selling on Thursday, with the Nasdaq tumbling 4.1% and the S&P 500 3.25% before a slight recovery on Friday. For the week, the Nasdaq and S&P are each lower by about 6%.

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