Dubai: Bitcoin prices dipped further on Wednesday, alongside other cryptocurrencies, which analysts attributed to global uncertainty amid rising inflation and the ongoing flare-ups in COVID-19 worldwide.
Bitcoin, the world’s most popular cryptocurrency, traded at $41,400 or 2.7 per cent lower than a day earlier. Bitcoin’s market capitalisation fell below $800 billion. Ether, the second-most popular cryptocurrency, also fell about 3 per cent to $3,078, with it's market capitalisation dropping to $356 billion.
Data shows that global crypto market cap dipped by 1 per cent, while the market volume has increased by 1 per cent, with large crypto investors noticeably accumulating Bitcoin amid the current low prices.
The other cryptocurrencies are also experiencing a similar slide in prices. Cardano, which outperformed Bitcoin and Ethereum, has also been down by 7 per cent. Meanwhile, Stacks picked up nearly 13 per cent, Ethereum Classic (ETC) and Theta increased by 7 per cent.
Dogecoin price tanked a per cent at $0.16 whereas Shiba Inu plummeted over 3 per cent to $0.000028. Similarly, Binance Coin was 1.5 per cent lower at $463. While XRP, Polkadot, Tether, Litecoin plummeted over the last 24 hours, Solana, Terra, Stellar prices were trading with gains.
Crypto funds witnessed fifth straight week of outflows, digital asset manager CoinShares' report showed, as digital asset investment products saw net outflows of $73 million for the week ended 14 January.