Investors are dumping cryptocurrencies en masse. According to the specialized website CoinMarketCap, more than 200 billion in value has disappeared from the market in 24 hours.
The crypto crash is a result of the collapse of the cryptocurrency TerraUSC, which is considered stable. The most famous currency Bitcoin has lost 10 percent of its value in one day and is at the lowest level since December 2020. Ethereum was even 16 percent lower. Crypto-related stocks are also taking a hit in Asia.
Cryptocurrencies are under pressure as central bankers around the world tighten monetary policy to fight inflation. As a result, investors flee from risky investments.