Bitcoin and ether plunged to multi-month lows as worries over a possible US recession in the wake of soft data gripped financial markets and triggered a rush out of risky assets.
The selloff marks a stunning reversal just days after optimism fueled by Republican presidential candidate Donald Trump's speech pushed bitcoin, the world's biggest cryptocurrency, over the $70,000 (AED 257,000) mark for the first time in more than a month.
Crypto markets have gotten a boost this year after the US Securities and Exchange Commission approved exchange-traded funds to track the spot prices of bitcoin and ether.
More recently, however, the currencies have tumbled alongside other assets including global equities, as investors fear a US recession could be on the horizon, with rising geopolitical worries also weighing.
Bitcoin has lost over a third of its value since hitting a record high in March. The increasing correlation with equities has also undermined its reputation as a safe-haven asset.
WTO advances world’s first digital trade rules despite opposition
Abu Dhabi boosts transparency, governance in real estate sector
Dr. Sultan Al Jaber dedicates leadership award to UAE President, frontline workers
Dubai achieves highest-ever ranking in Global Financial Centres Index
Stocks gain with oil prices easing on optimism from possible ceasefire talks
