Investors worry another possible crypto collapse will bring down other key players
— Investors, Worry, Terra, Bring, Collapse, Key, Traditional, Socalled, Stablecoin, Celsius, Liquidation, Possible, Financial, Crypto, Market, Players — 1 min read
Bitcoin sank below $21,000 on Tuesday, extending sharp declines from the previous day. Total value of all digital tokens combined dipped below $1 trillion for the first time since 2021. Celsius recently moved to pause all account withdrawals, sparking fears that it may be about to go bust. The company lends out clients' funds similar to a bank — but without the strict insurance requirements imposed on traditional lenders. Fitch Ratings: Liquidation of Celsius' assets would "further rock the valuation of cryptoassets, leading to a wider round of contagion within the crypto sphere" Investors fear collapse of Celsius may lead to even more pain for a market that was already on shaky ground. Source