Bitcoin nearly hits $3,000 before plunging
Bitcoin's wild ride is continuing on Monday. The cryptocurrency climbed to a lifetime high of $2,999.97 a coin in overnight action, but it has seen a sharp drop from its highs. It's now trading down by $223, or 7.6%, at $2,729 a coin.
Monday's action comes without any real catalyst, as trade appears to be fueled by buying in Asia. Recently, China's three largest bitcoin exchanges lifted their ban on clients' withdrawals. Additionally, Japan's government announced in early April that bitcoin had been approved as a legal payment method in the country.
Bitcoin has gained 187% this year. Its meteoric rise has prompted tech billionaire Mark Cuban to call it a "bubble." Last Tuesday, Cuban tweeted: "I think it's in a bubble. I just don't know when or how much it corrects. When everyone is bragging about how easy they are making $=bubble."
The market continues to await the US Securities and Exchange Commission's ruling on an exchange-traded fund started by the Winklevoss twins. Back in March, the SEC rejected that ETF along with another. It has since taken public comment on its decision regarding the Winklevoss twins' ETF, but it has not made an additional ruling.