Cryptocurrency prices plummet on the release of a new Covid variant as investors flee riskier assets

<p>Bitcoin's 13-year existence has been marred by bouts of extreme volatility, and it was on track for its biggest one-day decline since September 20. </p> <p>Bitcoin fell over 9% on Friday, dragging down smaller tokens, as investors fled riskier assets for the perceived safety of bonds, the yen, and the dollar in response to the discovery of a new, potentially vaccine-resistant coronavirus variant.</p> <p>Bitcoin, the most valuable digital currency, fell as much as 9.2% to $53,551, its lowest level since Oct. 10. Ether, the second largest cryptocurrency, fell more than 13% to its lowest level in a month as investors fled cryptocurrency. </p> <p>Bitcoin's 13-year existence has been marred by bouts of extreme volatility, and it was on track for its biggest one-day decline since Sept. 20. It has lost nearly a fifth of its value since reaching a record high of nearly $70,000 earlier this month. </p> <p>According to scientists, the coronavirus variant detected in South Africa, Botswana, and Hong Kong possesses an unusual combination of mutations that may enable it to evade immune responses or increase its transmission potential. </p> <p>"The spread of (the variant), particularly to other countries, may further dampen investor appetite," Yuya Hasegawa of Tokyo-based exchange Bitbank said. "Bitcoin's upside potential is likely to be limited, and the market should brace for additional losses." </p> <p>Bitcoin reached an all-time high of $69,000 earlier this month as more institutional investors embraced cryptocurrencies, many attracted by their alleged inflation-resistant properties. </p> <p>Others have poured money into the digital token on the promise of quick gains, a lure exacerbated by record low or negative interest rates. However, bitcoin's volatility has persisted, raising concerns about the currency's suitability as a stable store of value. </p> <p>Ether is down nearly 20% from its record high reached on Nov. 10.</p> <p> </p> <p><a href='http://paypal.me/cryptopirates'>Support us!</a></p>