Bitcoin Crashes Below $10,000

Bitcoin Crashes Below $10,000
The value of the Bitcoin crypto-currency has fallen almost 50% from its December peak.

(CCM) — The value of Bitcoin has plummeted to less than $10,000, the BBC reports, suggesting the bubble that led the crypto-currency to trade at close to $20,000 just five weeks ago is finally bursting.

Bitcoin is not the only crypto-currency that has experienced a slump in value: Ethereum, Ripple, Litecoin, and Bitcoin Cash have also fallen in value dramatically in the last twenty four hours, according to the report.

The precise reason for the price drops is hard to say for sure, but some experts attribute it to the suggestion that South Korea may regulate the buying and selling of cryto-currencies. "The shutdown of virtual currency exchanges is still one of the options," Kim Dong-Yeon, the country's finance minister, said in a radio interview on Tuesday.

Other news that may have caused the price drops includes reports that the Chinese government is planning to restrict local access to trading platforms, according to the BBC.

The influential investor Warren Buffett has also made negative pronouncements about Bitcoin and other virtual currencies, and has steered clear of them when making purchases for his Berkshire Hathaway investment fund. "In terms of crypto-currencies, generally, I can say with almost certainty that they will come to a bad ending," he told CNBC.

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