Bitcoin Bounces Back , After Stablecoin Collapse , Sends Crypto Markets Into Tailspin.<br />On May 13, cryptocurrencies <br />saw bitcoin fight back <br />to rise above $30,000. .<br />However, bitcoin is still facing a record losing streak after the collapse of TerraUSD sent shockwaves through cryptocurrency markets.<br />Reuters reports that high inflation <br />and rising interest rates have swept <br />crypto assets up in a broad selloff.<br />Bitcoin reached a 16-month low <br />of around $25,400 on May 12. .<br />The largest crytocurrency by total <br />market value managed to bounce back <br />in the Asian session to $30,500.<br />Reuters reports that bitcoin is likely to record <br />a seventh consecutive week of losses <br />without a big rebound over the weekend.<br />I don't think the worst is over. <br />I think there is more downside <br />in the coming days, Scottie Siu, Investment director of Axion <br />Global Asset Management, via Reuters.<br />I think what we need to see <br />is the open interest collapse <br />a lot more, so the speculators <br />are really out of it, and that's <br />when I think the market will stabilize, Scottie Siu, Investment director of Axion Global <br />Asset Management, via Reuters.<br />Since November, selling has just <br />about halved the global market <br />value of cryptocurrencies.<br />According to ratings agency Fitch, <br />cryptocurrencies and digital finance could face , "significant negative repercussions" , if investors lose confidence in stablecoins.<br />Many regulated financial entities <br />have increased their exposure to <br />cryptocurrencies, defi and other forms <br />of digital finance in recent months, and <br />some Fitch-rated issuers could be affected <br />if crypto market volatility becomes severe, Fitch note, via Reuters.<br />Many regulated financial entities <br />have increased their exposure to <br />cryptocurrencies, defi and other forms <br />of digital finance in recent months, and <br />some Fitch-rated issuers could be affected <br />if crypto market volatility becomes severe, Fitch note, via Reuters
