The price of bitcoin fell below $8,000 again on Monday due to concerns about increasing regulation on cryptocurrency trading.
According to CoinDesk, bitcoin price fell as much as 9.81 percent to $7,383.17 in the early trading on Monday. Bitcoin was down more than 60 percent from its high of $19,343.04 hit on December last year. On Friday, it fell below $8,000 for the first time since November 24.
“Cryptocurrencies have seriously fallen out of favour since the middle of December and constant negative news flow and speculation of increased regulation has exacerbated the move lower, much in the same way that the constant flow of positive news stories aided the explosion higher,” Craig Erlam, an analyst at currency broker Oanda, said, according to Reuters.
Most of the cryptocurrencies also saw significant decline in the recent weeks. According to data from Coinmarketcap, the total market capitalizations of all cryptocurrencies fell to $350 billion, down 57 percent from its all-time high of about $830 billion.
Concerns of tighter regulation on cryptocurrencies trading are the main factor that drive the selloff in the cryptocurrency market.
Major cryptocurrencies such as Ethereum, Ripple and Bitcoin Cash also fell sharply on Monday. According to CoinMarketCap, Ethereum, the second-largest cryptocurrency by market cap, fell 15 percent to $738.9. Ripple, the third-largest cryptocurrency, fell 13 percent $0.73.