Bitcoin’s decline amid a crypto crackdown from China has pushed it below $30 000 for the first time since January, nearly pulverising its entire 2021 gain.
The original cryptocurrency has lost roughly 50% from its mid-April high of around $64 000, leaving it up just 5% for the year. That compares with a 12% gain for the S&P 500 since the end of December. The coin started 2021 trading around $29 000.
It’s a remarkable comedown for the digital asset which just weeks ago was trekking higher amid a warmer embrace from Wall Street as well as retail investors. But negative press about its energy use, brought on largely by Tesla Inc.’s Elon Musk, as well as a clampdown from China have pushed it lower in recent weeks.
Bitcoin last traded below $30 000 at the end of January. That support level held steady during a selloff last month that saw it wipe out roughly 35% for the month of May.