Bitcoin Slides More Than 5% to Lowest Since November 11

Singapore (Reuters) - The value of Bitcoin plummeted on Friday, dipping to its lowest level since November 11 and sparking concerns among investors about the future of cryptocurrency.

The decline was attributed to growing uncertainty surrounding U.S. President Donald Trump's tariff plans, which are set to be announced later this month. Market participants are weighing the potential impact of these tariffs on global trade, with some expecting a weakening in the US dollar and a boost to prices for commodities such as gold and oil.

Another factor contributing to the volatility is the ongoing debate over crypto policy. The U.S. government has been exploring ways to regulate cryptocurrency markets, which could lead to increased regulatory scrutiny and potentially more stringent rules for exchanges, wallets, and other players in the space.

In recent days, investor confidence has been shaken by a $1.5 billion hack of rival coin ether. This incident highlights the risks associated with investing in cryptocurrencies, which are known for their high volatility and susceptibility to hacking attacks.

As of press time, Bitcoin was trading at around $17,000, down more than 5% from its previous close. This represents a significant drop since November 11, when the cryptocurrency reached an all-time high of nearly $20,000.

The decline in Bitcoin's value has sparked concerns among investors and analysts, who are watching for signs of further market instability. "The recent decline in Bitcoin's price is a clear indication that investor confidence is waning," said John Smith, a senior analyst at XYZ Research. "As the situation surrounding Trump's tariff plans and crypto policy continues to unfold, it's likely that we'll see more volatility in the markets."

Meanwhile, rival cryptocurrency ether has also been impacted by the hack, with its price dropping by over 10% since the incident occurred.

The ongoing uncertainty and market instability are a reminder of the risks associated with investing in cryptocurrencies. As investors navigate this complex landscape, it's essential to stay informed and adapt to changing market conditions.