TOKYO -- The price of bitcoin, the world's most traded cryptocurrency, plunged 30% on Friday amid widespread market turmoil -- defying expectations from some advocates that cryptocurrencies would withstand shocks in traditional financial markets.
The selloff ended a months-long crypto rally that accelerated in January after tensions rose between Iran and the U.S., and peaked in February when the price of bitcoin surpassed an all-time high of $10,000. On Friday bitcoin was trading at around $5,000 while Ethereum, the second-most used cryptocurrency, fell as much as 49% to trade under $100.
