Bitcoin loses to gold amid Ukraine crisis.

Bitcoin dropped to a more than two-week low as fears of a possible Russian invasion of Ukraine prompted some analysts to predict the largest cryptocurrency could slide toward the key $30,000 level. 

Bitcoin dropped for a sixth straight day, touching a low of $36,372 on Tuesday after Russian President Vladimir Putin said he’s recognizing two self-proclaimed separatist republics in eastern Ukraine and ordering troops there.

Other cryptocurrencies also declined, with Ether off as much as 2.9% and XRP down as much as 6.7%. 

BITCOIN, ETHEREUM TANK

The world’s most popular cryptocurrency, Bitcoin, sank over six per cent to $36,673 the lowest since February 3.

The second largest cryptocurrency, Ethereum, was down by more than seven per cent at $2,519 the lowest since January 31.

OTHER CRYPTOCURRENCIES DOWN

XRP was down by 14 per cent, Solana fell by 12.91 per cent, Terra was down by 3.38 per cent, Cardano tanked 14.13 per cent, Avalanche fell by 15.91 per cent, and Stellar fell by 12.13 per cent.

Other alt coins, Polkadot was down by over 8 per cent, Dogecoin fell by more than 10 per cent, Shiba Inu was down by 13 per cent, and Polygon fell by over 13 per cent.

Ether, the coin linked to the ethereum blockchain and the second-largest cryptocurrency in terms of market capitalization, also fell about 3.3% to $2,594.59. Meanwhile, Dogecoin price crashed over 6% to $0.129778 whereas Shiba Inu also plummeted about 7.2% to $0.00002457. The performance of other coins also tanked as Solana, XRP, Terra, Avalanche, Stellar, Cardano, Polygon, Polkadot prices were trading with cuts in the range of 5-12%.

Cryptocurrency

The global cryptocurrency market capitalisation today remained below the $2 trillion, as per CoinGecko, as it was down over 3% at $1.77 trillion, dragged by the fall in crypto prices today.

GLOBAL CRYPTO MARKET TANKS

“The global crypto market volume fell by nearly 7 per cent, while the trading volume rose by 45 per cent over the past 24 hours. Bitcoin and Ethereum slipped below US$37,000 and US$2,600 levels,” said Edul Patel, CEO and Co-founder, Mudrex.

Bitcoin dipped below $40,000 level over the weekend and kept weakening as the Ukraine crisis deepened, undermining the argument that cryptocurrencies are a haven in times of geopolitical turmoil. At the same time, gold has reached its highest level since June.

“In the globe’s latest maelstrom — U.S./Russia/Ukraine — Bitcoin, the asset purported to be the answer to every question, has quietly weakened and is notably underperforming its arch-enemy, gold,” said John Roque of 22V Research in a note on Monday.

Roque predicted Bitcoin may fall below $30,000 — a level it hasn’t seen since July — as traders increasingly favor gold, potentially pushing bullion to an all-time high. 

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