Prior to this, bitcoin had recorded a rate of 7.5 percent as a huge drop. But now it has come down to 9 percent. After this fall, the value of bitcoin has gone up to $32,288 (about Rs 23.9 lakh). This is its lowest value in the last 12 days. If bitcoin continues to decline at the same rate, it could see its biggest fall in the month.
Authorities in the southwestern province of Sichuan on Friday ordered the closure of cryptocurrency mining. The State Council, China’s cabinet, last month vowed to ban bitcoin mining and trading as part of a series of measures to control financial risks.
“Action on Chinese miners could mean they are taking the coin off a lighter market and taking us down,” said Ben Sebli of London-based crypto firm BCB Group.
Bitcoin production in China accounts for more than half of global bitcoin production. Sichuan is the second largest bitcoin mining province in China according to data compiled by the University of Cambridge. Some miners move production there during the rainy summer to take advantage of its rich hydroelectric resources. As of 1 PM on June 22, the price of bitcoin in India was 24.2 lakhs.
Companies that mine bitcoins usually hold large amounts of the cryptocurrency to somehow sell off the falling prices.
Bitcoin is down for the fifth time in the last 6 days. It is now trading at half the price from its April high of $65,000 (approximately Rs 48 lakh). But still it has registered an overall growth of 10 percent so far this year.
Its smaller rival, ether, which is the second largest cryptocurrency and leads alongside bitcoin, is down as much as 12 percent. Now its value is $ 2,000 (about Rs 1.4 lakh). Last time it had registered a decline of 10 percent and at that time its value was at $ 2025.31 (about Rs 1.5 lakh). As of writing the news on June 22 at 1 pm, the price of Ether in India was Rs 1.4 lakh.<!–
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