After surging to record high over the weekend, Bitcoin prices saw a huge slump on Monday as with the sell-off in equities there was reduced appetite for risky assets.
The cryptocurrency sank below $50000 but later pared losses to 8%. Elon Musk tweet that the cryptocurrency has risen too high too quickly weighed on the largest crypto. Earlier on Musk's comment who embraced the token, the crypto surged to record highs of $58000 per unit."Whatever he (Elon) does is going to dominate the news stream," said Ed Moya, senior market analyst at Oanda Corp.
Bitcoin was on a boil after institutions world over embraced the crypto and said it to be an attractive alternative to gold and the dollar.It traded at around $52,782 as of 10:20 a.m. in New York.