The price of bitcoin fell 48 percent in two days and lost 30 percent of its value this week, moving in tandem with risk assets and challenging the narrative that bitcoin acts as a safe haven asset in times of political and economic uncertainty.
Bitcoin is currently trading at $5,364, about 40 percent up from a low of $3,858 late Thursday night – the lowest since May 2019. Bitcoin has historically demonstrated strong recoveries from similarly violent sell-offs.
Crypto exchanges briefly went offline early Friday morning, and the New York State Department of Financial Services is requiring licensed crypto firms to produce coronavirus contingency plans.
On Thursday afternoon, between President Trump's speech about travel restrictions and before Christine Lagarde's speech in which she refused to cut rates, the crypto markets fell 20 to 30 percent in the span of an hour in one of bitcoin's sharpest ever selloffs. Gold, platinum, palladium, gasoline, and sugar plummeted around the same time.
"The latest market meltdown centers around liquidity (or lack thereof) as investors sell whatever they can to minimize additional losses or cover their positions," Kevin Kelly, lead analyst at Delphi Digital, said in an investor note Thursday. "The old adage 'cash is king' rings truer than ever at times like this as markets crater and hysteria takes hold. Beware fakeout rallies and false bottoms as they've claimed more careers than they've made."
Debt ceiling talks are underway in Washington, DC ahead of a default deadline. Michael Rosen, chief investment officer with Angeles Investments, joined Cheddar News to explain how a potential default could affect investment portfolios, among other items, for Americans.
Australia's government announced regulations for buy now, pay later services, which will be labeled as consumer credit products, which puts them under the country's Securities and Investments Commission's watch.
Walmart is reportedly teaming up with pet telehealth provider Pawp, giving subscribers unlimited access to vet services via video and text, starting on Tuesday.
Cheddar News checks in to see what's on The Day Ahead, which will include earnings from Lowe's, Dick's Sporting Goods, BJ's and AutoZone along with new home sales data. In addition, Microsoft's Build 2023 Developer Conference is slated to kick off for software engineers and web developers.
Amazon will use a new feature in its palm-scanning system to verify one's age to purchase alcohol.
Venmo will soon have accounts for teenagers ages 13-17 but they will have to follow a set of rules, with parents or guardians opening accounts on their behalf under their own accounts.
Rory Harvey, General Motors' incoming North American president, joined Cheddar News to discuss GM's foray into the rapidly-changing electric vehicle market along with what lies ahead. "It's a very dynamic time in the automotive industry," he said. "If you look to the transformation across the EVs, it's happening and it's happening at a pace."
Tesla trimmed prices by offering discounts of around $1,300 for its Model 3 vehicles, continuing price adjustments across its fleet since January.
A new oral weight-loss drug from Pfizer could be more effective than the popular Ozempic injection, based on clinical trial results.
Ford Motor laid out some financial expectations and specific growth objectives for its electric vehicle line at an investors' event on Monday. John Lawler, chief financial officer of Ford Motor Co., joined Cheddar News to explain what lies ahead for the automaker.
