As Bitcoin drops below $23,000, the value of other cryptocurrencies today also plummets

This week, the cryptocurrency Bitcoin has been recovering.

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The price of Bitcoin, the biggest and most well-known cryptocurrency in the world, fell today, falling more than 1% to $22,955, after climbing above $24,000 on Wednesday for the first time in more than a month. The current Bitcoin recovery has reduced its loss this year to roughly 50%.

Similar to the stock market, bitcoin has been on the upward so far this week as investors seem more confident in the US Federal Reserve’s capacity to control decades-high inflation.

Despite falling more than 2% in the previous day to $1.08 trillion, the worldwide cryptocurrency market cap was back above $1 trillion Wednesday, according to CoinGecko.

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The second-largest cryptocurrency, Ether, which is connected to the Ethereum network, dropped more than 2% to $1,518. Shiba Inu declined more than 4% to $0.000011 while Dogecoin’s price today was trading about 1% lower at $0.06.

As the values of XRP, Solana, BNB, Litecoin, Stellar, Chainlink, Tron, Apecoin, Avalanche, Polkadot, Polygon, Uniswap, and Tether have been falling over the past 24 hours, other cryptocurrencies’ performance today has also decreased.

Tesla Inc., a manufacturer of electric vehicles, had liquidated nearly 75% of its virtual token holdings. Elon Musk, the CEO of Tesla, attributed the transaction to worries about the “total liquidity” of his business.

More than a year after investing $1.5 billion in bitcoin at the height of its meteoric rise and popularity, Tesla sold $936 million worth of the cryptocurrency in the second quarter. Musk noted that none of Tesla’s dogecoin, a meme-based cryptocurrency that he has praised, was sold.

As a series of defaults continue to plague the digital-assets business, Zipmex, a cryptocurrency exchange with operations in countries like Singapore and Thailand, announced it has stopped accepting withdrawals.

Along with other cryptocurrency companies including Celsius Network Ltd. and Vauld, Zipmex has suspended withdrawals, leaving depositors stranded and highlighting the dangers of leveraged bets that are pervasive in the market. Singapore-based cryptocurrency loan and trading platform Vauld is attempting to avoid bankruptcy by selling itself to a rival and requesting legal relief.