Precipitous declines in prices for bitcoin and Ether in the wake of a potential crackdown on exchanges by Chinese authorities have shaved nearly $40 billion off the combined market capitalization of the cryptocurrencies over the past two weeks.
The price of a single bitcoin BTCUSD, +11.30% tumbled nearly 8% on Thursday to $3,565, and has fallen nine of the last 13 days. Unlike stocks and bonds, bitcoin trades every day without a set closing time.
Bitcoin is now down nearly 30% from its peak at above $5,000 on September 1. This is a second drop of this magnitude in less than three months. Between June and mid-July, bitcoin prices fell 33%, largely due to fears surrounding the eventual upgrade of bitcoin’s software code and branching out of the Bitcoin Cash.
Still, bitcoin is up about 250% since the start of the year with a market cap of $59.3 billion.
Read: Bitcoin at crossroads after shedding more than $20 billion in value
The most recent bout of selling of bitcoin began when China’s regulators declared so-called in...