The value of bitcoin has been remarkably stable since the beginning of the year, following significant price drops at the end of 2021 that took it from around $67,000 at the beginning of November to $46,000 by the end of December.
But that was broken in recent days when the price began to plunge on Wednesday. It fell more than 5 per cent in hours, and then stayed that way.
That was until it dropped again on Friday, dropping another 2.3 per cent in the early hours and plunging through the $42,000 mark.
The poor performance in recent days mean that 2022 has seen the value of bitcoin drop almost 9 per cent.
The same is true in other cryptocurrencies, some of which have seen even more dramatic falls. Ethereum, the second most valuable digital coin, has lost 14 per cent over the last seven days, and the market overall has fallen by 1 per cent in the last 24 hours.
Every single major cryptocurrency is now down over the last week, according to tracking website CoinMarketCap. While not every drop was quite as dramatic – Cardano and XRP dropped less – they were still down almost 10 per cent over the week.
The new upset comes only months after bitcoin reached its all time high of almost $69,000 in November. The drops since then mean that the price is now almost 40 per cent below that peak.