Major cryptocurrencies were trading lower or flat on Tuesday with Bitcoin, the world's biggest digital currency in terms of market capitalisation, falling for the second consecutive day, slipped below $57,000. The virtual currency was trading at $56,981.30 at 9:09 am (IST), according to crypto exchange CoinDesk data.
This is a huge fall from the record high of $69,000 that hit on November 10. Ethereum, another popular and the second-biggest cryptocurrency by market value, fell slightly to $4,174.50 at 9:14 am (IST) on the CoinDesk.
Shiba Inu, which grabbed the attention of the investors with stellar gains a couple of weeks ago, gained 1.35 percent to 0.000044 at 9:15 am, while meme crypto Dogecoin was trading flat at $0.222695 at 9:17 am.
However, Solana, which recently received popularity, shed 0.97 percent to $220.28 on the exchange at 9:19 am.
Other cryptocurrencies such as XRP, Litecoin, Stellar, Cardano, Polkadot, and Uniswap were trading mix over the last 24 hours.
Cryptocurrency products and funds posted inflows in the latest week, with investors undeterred by the latest price corrections, weekly data from digital asset manager CoinShares showed on Monday.
According to a Reuters report, institutional investors poured in $154 million in the crypto sector in the week ended November 19, with a year-to-date total of $9.2 billion, already exceeding total inflows of $6.7 billion in 2020.
Bitcoin got the lion's share of inflows with $114.4 million, equivalent to 74 percent of the total. So far this year, total inflows into bitcoin products and funds hit $6.7 billion.
The inflows came despite bitcoin dropped 10.4 percent in the last week. On Monday, bitcoin was down 4.5 percent at $56,042. The world's largest cryptocurrency hit a record high of $69,000 on November 10.
Meanwhile, El Salvador President Nayib Bukele announced on Sunday that his government will build an oceanside Bitcoin City at the base of a volcano. El Salvador became the first country in the world to adopt Bitcoin as legal tender in September this year.
Earlier, RBI Governor Shaktikanta Das said that the Reserve Bank had conveyed its "serious and major concerns" about cryptocurrencies to the government and now the Centre will have to decide on how to deal with the proliferation of such platforms.
Prime Minister Narendra Modi last week said cryptocurrencies must not fall into the “wrong hands and spoil our youth", urging all democratic nations to come together and ensure things like these do not happen. The government and the RBI have recently hinted about floating a strong regulatory control on cryptocurrency to avoid money laundering and terror financing, rather than banning it entirely.
(Edited by : Bivekananda Biswas)
First Published: IST