Bitcoin suddenly plunged 17% to below $48,000 on Monday after recording a series of all-time highs in the past week. The leading crypto reached a $1 trillion market cap on Friday before soaring to a record $58,042 on Sunday.
Bitcoin quickly recovered from the plunge and was hovering aground $54,000 at the time of publication, according to CoinMarketCap.
Monday’s slide is an indication that investors are nervous about the crypto’s rapid rise, with bears saying it has entered bubble territory, attracting comparisons with the 2017 bull run, which saw it plunge dramatically after reaching a new all-time high near $20,000. In 2020, bitcoin made a dramatic recovery, shooting up 305%.
Many analysts expect bitcoin to reach between $100,000 and $400,000 by the end of 2021.