Bitcoin is down more than 10% to under $ 55,000
Bitcoin is down more than 10% to under $ 55,000

Bloomberg reported that Bitcoin plunged to its biggest one-day drop since February, just days after dropping to an all-time high.

The cryptocurrency fell 10.8% from $ 61,396 to $ 54,750 in 24 hours.

After losing more than $ 7,000 in one hour, it fell to as low as $ 51,300 at one point and then partially recovered.

Ethereum, the second largest cryptocurrency, also slid nearly 18% before paring losses.

Many online stores attribute this decline to market speculation that the U.S. Treasury may take action to combat money laundering through digital assets.

Bitcoin set a record $ 64,869 before its NASDAQ Coinbase offering on Wednesday.

Coinbase ended its first week of profit trading after bullish comments from Wall Street analysts.

Dogecoin rose more than 110% on Friday and is down the next day.

And the demand for Dogecoin was so fast that investors attempting to trade through Robinhood discontinued the service.

Bitcoin has come under closer regulatory scrutiny in recent months. Turkey's central bank announced on Friday that it will ban the use of cryptocurrencies as an effective payment method starting April 30.

The move resulted in the world's largest currency plummeting 5%. The bank said: The unknown nature of the digital currency carries the risk of non-recoverable losses.

Aside from unsupported reports on the U.S. Treasury's campaign, the slowdown could also include financial leverage, Coinbase subscribers dumping stocks after a direct listing, and power outages in China's Xinjiang Province that hit bitcoin miners.

In March, insiders reported that India will likely ban Bitcoin and penalize anyone who buys, holds, or sells any form of digital currency.

While the risks associated with cryptocurrencies remain a concern, some companies are turning to cryptocurrencies where PayPal accepts Bitcoin as a payment method.

Wall Street firms like Morgan Stanley plan to give some of their wealthy clients access to digital tokens.

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