Bitcoin deepened its decline that started Saturday night and hit $42,000 for the first time since September.
Bitcoin experienced a sharp drop of up to 20% in the morning hours. Bitcoin has fallen by about $15,000 in the last 24 hours, while Ethereum is down by $1,100. BTC dropped $10,000 within an hour and managed to make a notable bounce from the $42,000 region. Ethereum similarly slumped to $3,500 and recovered to $3,900. As of publication time, BTC is trading at 47.500 and ETH at $3.900.
The drop came after uncertainties caused by the Omicron variant and the Fed’s growing discomfort with high inflation. Fed Chairman Powell removed the word provisional from the inflation debate in his speech on Tuesday.
El Salvador Bought the Fall
Amid these uncertainties, some saw the decline as a buying opportunity. El Salvador President Nayib Bukele announced that they have purchased another 150 BTC. El Salvador recently announced that they had bought 100 BTC by evaluating the decrease.