A banner with the logo of bitcoin is seen during the crypto-currency conference Bitcoin 2021 Convention at the Mana Convention Center in Miami, Florida, on June 4, 2021.
Marco Bello | AFP | Getty Images
Bitcoin’s price slipped again Tuesday amid a brutal sell-off among digital currencies.
The reason for the move was unclear, however it may be related to concerns over security of the cryptocurrency after U.S. officials managed to recover most of the ransom paid to hackers that targeted Colonial Pipeline.
Court documents said investigators were able to access the password for one of the hackers’ bitcoin wallets. The money was recovered by a recently launched task force in Washington created as part of the government’s response to a rise in cyberattacks.
Bitcoin accelerated its slide to fall below the $32,000 level late Tuesday morning. The world’s largest cryptocurrency then recovered slightly, trading 9% lower at $32,854.99 as of 4:01 p.m. ET.
Smaller digital coins also slumped, with ether falling about 8% to $2,499.28 and XRP tanking over 7%.
In April, 2021 was looking to be a banner year for digital assets, with bitcoin having topped $60,000 for the first time ever. But a recent plunge in crypto prices has shaken confidence in the market. Bitcoin sank to nearly $30,000 last month, and is currently down roughly 50% from its all-time high.
The digital currency is now up only about 12% since the start of the year, though it’s still more