Bitcoin Plummets: What You Need to Know
**Understanding the Recent Bitcoin Drop** Bitcoin has experienced a staggering decline of nearly 15% over just a few days, leading to a sweeping liquidation of more than $2.4 billion in…
Cryptocurrency is a type of digital or virtual currency that uses cryptography for security. It is decentralized and relies on blockchain technology, which is a distributed ledger enforced by a network of computers (nodes). Cryptocurrencies are typically independent of any central authority, making them immune to government interference or manipulation. They enable secure and transparent transactions, allowing individuals to exchange value directly without intermediaries such as banks. Bitcoin, created in 2009, was the first and remains the most well-known cryptocurrency, but there are thousands of others, including Ethereum, Ripple, and Litecoin. Cryptocurrencies can be used for a variety of applications, including online purchases, investment, remittances, and as a store of value. The value of cryptocurrencies can be highly volatile, influenced by market demand, technological developments, regulatory news, and broader economic factors. The rise of cryptocurrency has also given rise to related concepts such as Initial Coin Offerings (ICOs), decentralized finance (DeFi), and non-fungible tokens (NFTs), further expanding the landscape of digital finance.
**Understanding the Recent Bitcoin Drop** Bitcoin has experienced a staggering decline of nearly 15% over just a few days, leading to a sweeping liquidation of more than $2.4 billion in…