Global financial markets were shocked another time as the US inflation hit a 40 year high. The annual rate of inflation rose to 8.6%. Reports came on Friday, and led to a sell off of global risk assets such as stocks and cryptos.
Related: Arthur Hayes: Bitcoin will hit bottom near $25,000
In the last 7 days, the Bitcoin price fell by around 20.7%, dropping below $25,000. Currently, the coin trades at around $24.790. Its market cap stands at around $479 billion.
Other cryptocurrencies also saw significant declines. Ether is below $1,300. The global crypto market cap decreased by around 7.3% in the last 24 hours.
Bloomberg Intelligence strategist Mike McGlone tweeted if stocks continue to decline, virtually everything will have peaked. He finds that some normal reversion can feel like a crash, and the 2020-21 risk asset pump may go down in history as in 1929 and 1999.