The price of Bitcoin (BTC) has again fallen below $20,000 U.S. as the selloff in stocks resumes and intensifies.
Bitcoin had risen as high as $21,800 U.S. last week but was unable to maintain that level. It experienced some support at $20,500 U.S. over the weekend before declining to its current level of $19,700 U.S.
The fear now is that Bitcoin could drop back to $18,700 U.S., a level it reached earlier in July amid a rout in stock markets around the world. Bitcoin has been trading in tandem with equities since the spring when the market selloff picked up steam.
Bitcoin’s latest decline comes as the Euro currency fell to a 20-year low of $1.0002 against the U.S. dollar, approaching parity. The weakness arose amid concerns of an energy crisis in Europe that could push the continent into an economic recession.
Regarding equity markets, the Hang Seng index in Hong Kong is down 1.26% while Japan’s Nikkei 225 dropped 1.75%. The Stoxx Europe 600 index is down 0.60%, while Germany’s DAX index lost 1%. The Nasdaq and S&P 500 indices in the U.S. are also down to start the week.
The price of Bitcoin has now declined 71% from an all-time high of $68,000 U.S. reached last November.
