The oldest and most popular cryptocurrency with the beginning of the New Year has set a downward trend. It has suffered its worst week in 3.5 years and is currently battling to batter the psychological limit of $40k.
Two main factors caused Bitcoin’s seven-day descent. The first one is the published record of the December meeting of the Federal Reserve (US central bank) showing that central bankers are willing to start raising interest rates earlier than originally anticipated.
The second reason is the erupting unrest in Kazakhstan and the shutdown of the Internet throughout the country. To clarify, Kazakhstan is among the largest Bitcoin miners in the world. Last August, it accounted for nearly a 20 percent share. Kazakhstan is thus a world’s number three in mining this virtual currency behind the United States and China.
Bitcoin entered the New Year with value closer to $48 thousand, but now it is fighting to maintain the 40k border. It has last been traded at less than $40k last September. Since then, he has been able to achieve several historical maximums. The difference between the last maximum value of Bitcoin and its current value is more than $20 thousand.