Cryptocurrency markets extended their losses in late Sunday trading, with Bitcoin and Ether falling to their lowest levels in more than two months as investors grew concerned about tighter US regulations following the midterm elections.
Bitcoin, the world’s largest cryptocurrency by market capitalisation, dropped more than 2% to $73,708, marking its lowest level since August. Ether, the second-largest digital asset, declined approximately 5% to $2,223, also reaching a two-month low.
The latest downturn comes amid growing uncertainty over the future of cryptocurrency regulation in the United States, with investors concerned that a Democratic Party-controlled Congress could introduce stricter oversight of the digital asset industry.
Market sentiment has also been weakened by a reported $6 billion security breach at Binance, the world’s largest cryptocurrency exchange, adding to concerns about security and investor confidence.
The election of several prominent cryptocurrency critics during last week’s US midterms has further unsettled traders, raising fears of tougher restrictions on digital asset businesses.
The combination of regulatory uncertainty, security concerns and political developments has increased pressure on cryptocurrency prices, leaving investors cautious about the market’s near-term outlook.
