Hours after the chairman to the US federal reserve criticized the Libra project and called for its halting, several coins in the market have continued to record more losses, including Bitcoin which had hit highs of $13,000 as of yesterday (10/7/2019). The drop in crypto market prices comes after the US federal reserve directed that the project should not go on until all issues regarding user privacy, money laundering, among other claims are fully resolved.
“Libra raises many serious concerns regarding privacy, money laundering, consumer protection and financial stability,” said Craig Erlam, speaking to the US house of representatives.
After Jerome Powel made the announcement, Bitcoin’s value dropped by 3.8%, and as of today, it had fallen by around 11% at the time of writing this. Other currencies such as Ethereum, Litecoin, XRP also fell by similar levels, and it’s not certain when they will come out of recession yet.
Here’s a brief look at the crypto market prices looks like today for the top four currencies, compared to what it was yesterday:
I. Bitcoin– the coin currently has a market value of $11,472 compared to yesterday’s high of $13,129.53.
II. Ethereum– coming second after Bitcoin, Ethereum currently has a value of $271.70 compared to yesterday’s high of $313.07.
III. XRP– Ripple’s XRP has shown a change of about -15.5% over the past 24 hours. It currently has a value of $0.332077 down from yesterday’s high of $0.397920.
IV. Litecoin– though the coin has moved one position higher to become position for in terms of market cap, Litecoin has also recorded a change of -15.17% over the past 24 hours. This is after dropping to $101.17, where it trades currently, up from yesterday’s high of $120.10.
According to Craig Erlam, who works as a senior market analyst at OANDA, the trend we are observing in the market is a direct response to Powel’s testimony to the Financial committee in the US house of representatives.
“This is a direct response to the Powell testimony and comments on Facebook’s Libra and the implications that could have for the entire cryptocurrency space,” said Craig Erlam.
With the sudden double-digit changes being witnessed in the market, it’s uncertain what the market will look like hours into the future.