Bitcoin falls below $21,000, as crypto collapse claims another victim

• Bitcoin and other cryptocurrencies fell from Monday onwards today
• Binance, the world’s largest cryptocurrency exchange, temporarily paused bitcoin withdrawals on Monday.
• The Celsius Network, which has 1.7 million customers, announced that “extreme market conditions” have prompted it to temporarily block all withdrawals, crypto exchanges, and account transfers.

Bitcoin and other cryptocurrencies fell from Monday onwards today, and two of the world’s largest cryptocurrency platforms limited activity as the market meltdown proceeded.

The Celsius Network, which has 1.7 million customers, announced that “extreme market conditions” have prompted it to temporarily block all withdrawals, crypto exchanges, and account transfers.

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“We are taking this necessary action for the benefit of our entire community in order to stabilize liquidity and operations while we take steps to preserve and protect assets,” the company said in a blog post.

According to its website, the UK-registered corporation has over $3.7 billion in assets. It pays interest on bitcoin deposits and lends them out for profit.

Binance, the world’s largest cryptocurrency exchange, temporarily paused bitcoin withdrawals on Monday.

The decision was made because some transactions had “stuck” and were producing a backlog, according to the company.

“We are still working to process the pending Bitcoin (BTC) network withdrawals, and this is estimated to be completed in the next couple of hours,” the company said in a statement.

After its pandemic boom turned to bust, the crypto market has taken a beating in recent months. As the world’s leading central banks increased interest rates to fight soaring inflation, traders fled riskier investments, including volatile crypto assets.

According to Coinbase data, Bitcoin, the world’s most valuable cryptocurrency, has dropped 15% in the previous 24 hours, placing it around 69 percent below its all-time high in November last year, when it traded at about $69,000. Bitcoin plummeted below $24,000 on Monday, dropping to its lowest price since December 2020.

Ethereum, the second-most valuable digital coin, fell 17% and has now lost over 75% of its value since November.

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Meanwhile, governments are intently monitoring the impact of the crypto meltdown and may take action to protect investors.

Last month, US Treasury Secretary Janet Yellen told the Senate, “There are many risks associated with cryptocurrencies.” She stated that her agency was planning to provide a report on the subject.