Bitcoin fell again on Saturday, closing roughly 4% lower for the day and lingering near the $35,000 level.
Bitcoin, the world's largest and most well-known cryptocurrency, is presently trading at around half its November top of $69,000. The last trading at $35,049 was falling as low as $34,000 on Friday.
The currency has experienced substantial price swings and has been hammered as risk appetite has dwindled due to inflation fears and expectations of the US Federal Reserve's more aggressive pace of interest rate hikes.
Other risk assets have declined in tandem with Friday's stock market decline. The S&P 500 and Nasdaq saw their most significant weekly percentage declines since the pandemic began in March 2020.
On Friday, Edward Moya, senior market analyst for the Americas at OANDA, stated that bitcoin was declining as "crypto traders de-risk portfolios following the bloodbath in stocks" and in anticipation of next week's Federal Reserve policy meeting.
"Bitcoin remains in the danger zone and if $37,000 breaks, there is not much support until the $30,000 level," Moya said on Friday.
On Saturday, Ether, the cryptocurrency associated with the Ethereum blockchain network, fell 6.7 percent to $2,396.