The price of Bitcoin (BTC) continues to decline and is now trading at a two-month low of $57,500 U.S.
Analysts blame the decline on issues ranging from uncertainty over the U.S. presidential election to a flood of new Bitcoin hitting the market from the bankrupt crypto exchange Mt. Gox.
In the last 24 hours, the price of Bitcoin fell 4% to $57,500 U.S., its lowest level since the start of May this year and well below the all-time high of just under $74,000 U.S. reached in March.
The world's largest cryptocurrency has been under pressure since a halving event that took place in April reduced the available supply of Bitcoin, and the rewards for mining it, by 50%.
Bitcoin has come under further pressure from recent developments that include escalating violence in the Middle East and national elections in France and the United Kingdom.
The year had gotten off to a strong start for Bitcoin, with the price rallying to an all-time high following the launch in late January of BTC exchange-traded funds (ETFs) in the U.S.
But after the halving event, Bitcoin’s price has weakened and is now more than 20% below its March peak.
Another complicating factor is that the bankrupt crypto exchange Mt. Gox is about to repay its creditors $9 billion U.S. worth of Bitcoin.
Analysts say Bitcoin’s price could be further pressured if those creditors quickly sell the digital tokens they receive from the Mt. Gox bankruptcy trustee.
In addition to Bitcoin, Ethereum (ETH), the second largest cryptocurrency, is currently trading at $3,140 U.S., also down more than 20% from its 52-week high seen in March of this year.
