The crypto selloff deepened over the weekend as major digital currencies crashed to fresh lows.
the world’s largest digital currency, dipped below $3,500 on Saturday for the first time since September 2017, losing as much as 15% on the day and extending its monthly loss to nearly 40%.
After a brief reprieve on Sunday, the selloff has resumed on Monday with a single bitcoin
falling another 10%, heading back toward its Saturday low. It was trading at $3,639.90, down 10.1% since Sunday at 5 p.m. Eastern time on the Kraken crypto exchange.
Read: Bitcoin breaks below $4,000 as selloff deepens
Once worth close to $20,000, bitcoin, amid its selloff, has industry players asking just how much one of the digital coins is actually worth.
“There is nothing normal nor positive about this type of price movement so beware of false prophets selling soothsayer story lines and never get anchored to a price. Just because BTC is trading below $5,000, $4,000 or $3,000 for that matter, doesn’t mean bitcoin is undervalued even more so when BTC offers up no intrinsic store of value,” wrote Stephen Innes, head of Asia Pacific trading at Oanda.
However, Barry Silbert, an early bitcoin adopter and the founder of Digital Currency Group, has no doubt what some digital currencies are worth. Silbert said he used the weekend capitulation to add to his portfolio.
Read: Barry Silbert says bitcoin put in its 2018 low, but 99% of cryptos are worthless
Altcoins — the group of more than 2,000 coins other than bitcoin — moved lower in step with bitcoin on Monday. Ether
was down 6.9% at $107.91, Litecoin
was lower by 5.7% at $29.60, XRP
had lost 6.2% to 35 cents, and Bitcoin Cash
was down 3.2% at $176.40.
Read: Bitcoin is on track to do something it hasn’t done in 4 years
In futures trading, both contracts finished well lower on Monday. The Cboe Global Markets December contract
finished down 12.9% at $3,647.50 and the CME Group November contract
closed Monday down 13.5% at $3,625.
Read: Bitcoin is imploding — here’s where bitcoin bulls and bears see it headed from here
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Aaron Hankin is a MarketWatch reporter in New York who covers cryptocurrency and financial markets.
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