Bitcoin, Ethereum, and several other altcoins have plummeted on Tuesday. It has erased a value worth $400 billion from the market and all the gains from last week.
The total value of the cryptocurrencies has fallen to the mark of $1.9 trillion on Tuesday morning. It is marking a huge loss of $410 billion over the last hours.
On the same day, El Salvador has adopted Bitcoin as the legal currency of the country apart from its existing ones, i.e., US dollars. The cryptos have led to a price retreat which is falling to an 11% low of about $43000 level. It is the biggest drop since June. Even though there is an attempt by Reddit to organize a movement of Bitcoin purchasing, there is a significant fall. Reddit took this decision to support the bitcoin adoption of El Salvador.
This retreat comes as the Government of El Salvador has reported an issue with the crypto-wallet, Chivo. The Government said that it was working on solving any kind of technical glitches.
Following the decline of price in Bitcoin, the president of El Salvador Nayib Bukele said that the country had bought bitcoins. It has purchased 150 bitcoins. Now it is holding 550 of the coins, which are worth $25 million of crypto.
Ether is also experiencing a decline worth 12% in its price. It has erased its gains and has pushed the currency past the mark of $4000.
Altcoin or the alternatives to Bitcoin and Ether also fell on Tuesday. Well-known coins such as Binance Coin, Dogecoin, Cardano’s ADA see a 10% fall in its price. The only cryptocurrency that has gained this week is Solana’s Sol Coin. It has made a jump of 40% in 24 hours.
After a major drop in the morning, most of the coins have observed losses in the early afternoon. $3 billion in crypto was liquidated on Tuesday.