Bitcoin Drops Below $57k Amid Global Recession Fears

TL;DR

• Bitcoin is down by more than 6% over the last 24 hours and is now trading below $57k per coin.

• The poor performance comes amidst widespread fears of a pending global recession.

BTC Retraces Below $57k as Recession Fears Increase

Bitcoin experienced one of its worst weekends this year after shedding more than 6% of its value during that period. The leading cryptocurrency by market cap is down by 6.5% over the last 24 hours and is currently trading at $56,761 per coin.

The poor performance comes amidst growing concerns of a pending global recession. On Friday, the US stock market recorded one of its worst days in years, with more than $2 trillion wiped out from the market.

The weak NFP data on Friday raised concerns amongst investors as they believe that the US economy is growing weaker, a sign many believe could result in a global recession.

The fears affected cryptocurrencies, with over $200 billion wiped out from the crypto market over the last three days. The total cryptocurrency market now stands at $2.05 trillion, down from the $2.3 trillion recorded on Thursday.

Bitcoin has lost 17% of its value over the last seven days and could record further losses if the bearish sentiment continues. Ether, the second-largest cryptocurrency by market cap, has also lost 10% of its value in the last 24 hours and is now trading below $2,700 per coin.