According to PTI Reports, a 15 percent plunge in Bitcoin price was experienced in Asian trade on Wednesday before recouping some of the losses. The reason is suspected to be fear among investors from the hacking of a South Korean exchange.
Hitting a record high of USD 19,500 at the starting of this week, Bitcoin took a hit as the South Korean exchange Youbit hacking news came out. The firm has declared bankruptcy and will start filing its proceedings. There has been no information on the hacker.
Launched in 2013, Youbit facilitated the trading of 10 digital currencies including bitcoins, ethereum, and ripple. Earlier on Wednesday, the price of Bitcoin dropped to USD 15,800 before recovering to USD 17,000.
This attack raises concerns of investors over the security of digital currencies. There have also been concerns over market manipulation. In the past, Mt Gox, a Tokyo based bitcoin exchange had filed for bankruptcy after a loss of 850,000 bitcoins.