Many first-time investors bought Bitcoin and other cryptocurrencies as they neared all-time highs, and crypto companies spent millions on marketing. Today, they are coping with painful losses.
The declines come a day after the Federal Reserve raised interest rates by the most in over two decades as it embarks on a high-stakes fight to bring down inflation.
The Federal Reserve is gearing up to raise interest rates after inflation hit a 40-year high, sparking fears in Wall Street about what these steps will mean for the economy.
Bond and stock markets have tumbled this year as inflation continues to surge. The Federal Reserve has already indicated it will need to raise interest rates. The question is: Will that be enough?
Weeks after setting a record high, the price for Bitcoin has fallen dramatically along with other cryptocurrencies over factors ranging from inflation to, yes, Elon Musk.