Crypto’s Rollercoaster: Stocks Dive, Bitcoin Takes a Header! 🎢💸

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What to know:

  • In a plot twist worthy of a soap opera, early gains in cryptos and crypto-related stocks were rudely interrupted by a $1.5 billion Bybit hack. Ouch! 💥
  • As if that wasn’t enough, U.S. stocks decided to join the party and took a nosedive, putting even more pressure on crypto. Talk about a bad day at the office! 📉
  • And just when you thought it couldn’t get worse, news of a new coronavirus from China popped up like an unwanted guest at a dinner party. 🍽️

Just a few hours ago, the crypto markets were feeling rather chipper, thanks to the Securities and Exchange Commission hinting at dismissing a lawsuit against Coinbase (COIN). It was like a ray of sunshine on a cloudy day! ☀️

This delightful regulatory news sent COIN soaring by 5%, along with the ever-important Robinhood (HOOD), and even had bitcoin (BTC) peeking over the horizon of the $100,000 mark. But alas, the universe had other plans! 🌌

Then, like a well-timed punchline, the first bomb dropped late in the U.S. morning: Bybit was hit by a $1.5 billion hack — the largest in crypto history. Bitcoin and ether (ETH) promptly slid downwards by about 2% in a matter of minutes. Talk about a slippery slope! 🛷

Prices seemed to stabilize for a moment, and bitcoin even managed a little bounce, but it was like trying to keep a beach ball underwater. 🎈

Et tu stocks?

Any semblance of a bounce was swiftly extinguished as U.S. stocks decided to accelerate their modest losses in the afternoon. It was like watching a slow-motion train wreck. 🚂💥

Among the many excuses for this rapid retreat was a dismal reading from the Michigan Consumer Sentiment Index, which unexpectedly slipped to 64.7, while inflation expectations rose to 3.5%. It’s like the economy is playing a game of limbo — how low can you go? 🤷‍♂️

And just to spice things up, a new coronavirus scare emerged from China, discovered by researchers at the Wuhan Institute. They say HKU5-CoV-2 is “strikingly similar” to the virus that caused the 2020 pandemic. Because why not add a little drama? 🎭

As the trading day drew to a close on Friday, the Nasdaq was down by 2.2% and the S&P 500 by 1.7%. Meanwhile, the 10-year U.S. Treasury yield fell nine basis points to 4.42%. It’s all very thrilling, isn’t it? 😴

As for crypto, bitcoin has more than erased its recent gains, trading back to $95,000 and down nearly 4% over the past 24 hours. Ether (ETH) has also pulled back to $2,650, down about 4%. The broader CoinDesk 20 Index is down 4.4%. It’s a veritable feast of financial misfortune! 🍽️💔

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2025-02-21 23:44