Bitcoin and other cryptocurrencies have been going down since Monday. Two of the biggest cryptocurrency platforms in the world have slowed down as the market continues to crash.
The Celsius Network, which has 1.7 million customers, said that it is temporarily stopping all withdrawals, crypto exchanges, and account transfers because of “extreme market conditions.”
In a blog post, the company said, “We are taking this necessary step for the good of everyone in our community to stabilise liquidity and operations while we take steps to preserve and protect assets.”
The UK-based company has more than $3.7 billion in assets, according to its website. It gives interest on deposits of bitcoin and lends them out to make money.
The largest cryptocurrency exchange in the world, Binance, temporarily stopped bitcoin withdrawals on Monday.
The company said the decision was made because some transactions were “stuck” and creating a backlog.
The company said in a statement, “We are still working to process the pending Bitcoin (BTC) network withdrawals.” We expect to be done in the next couple of hours. “
After its global boom turned into a bust, the crypto market has been hit hard in the past few months. As the world’s top central banks raised interest rates to fight rising inflation, traders fled riskier investments, including volatile crypto assets.
Bitcoin, the world’s most valuable cryptocurrency, has dropped 15% in the last 24 hours, according to Coinbase data.This is roughly 69 percent lower than its all-time high, which it reached in November of last year, when it traded for around $69,000. the price of Bitcoin fell below $24,000, which was its lowest price since December 2020.
Ethereum, the second most valuable digital coin, lost 17% of its value. Since November, it has lost more than 75% of its value.
In the meantime, governments are keeping a close eye on how the crypto meltdown is affecting investors and may take action to protect them.
Janet Yellen, the US Treasury Secretary, told the Senate last month, “There are many risks with cryptocurrencies.” She said that her organisation was going to write a report about the issue.