Cryptocurrency Stocks Plummet Amid Bitcoin Crash

CNBC reports:

Bitcoin tumbled below $23,000 on Monday, hitting its lowest level since December 2020, as investors dump crypto amid a broader sell-off in risk assets. Meanwhile, a crypto lending company called Celsius has paused withdrawals for its customers, sparking fears of contagion into the broader market.

Over the weekend and into Monday morning, more than $200 billion had been wiped off the entire cryptocurrency market. The cryptocurrency market capitalization fell below $1 trillion on Monday for the first time since February 2021, according to data from CoinMarketCap.

Politico reports:

Celsius Network, a crypto lending business whose promise of eye-popping yields for retail consumers attracted a barrage of scrutiny from regulators, announced late Sunday night that it was halting withdrawals and crypto-for-crypto trading services for more than 2 million customers “due to extreme market conditions.”

With Celsius’s reported $11.8 billion of assets under pressure, the disruption accelerated a selloff in high-risk digital markets that were already reeling amid rising interest rates and a possible recession.

With prices crashing, Binance — the world’s largest crypto marketplace — announced on Monday it was freezing Bitcoin withdrawals for technical reasons.