Prices for cryptocurrencies such as Bitcoin (BTC) and Ethereum (ETH) are once again plunging as a recovery in digital assets proved to be short lived.
Bitcoin, the world’s biggest crypto, is down 5% in the past 24 hours and trading at $110,200 U.S. It’s now trading 13% below the record high it reached earlier in October.
Prices for other cryptocurrencies such as Ethereum, Dogecoin (DOGE) and XRP (XRP) are down between 8% and 10% over the last day as investors again sell risk assets.
Analysts say the current selloff in crypto is being prompted by trade tensions between the U.S. and China.
Crypto prices plunged alongside stocks on Oct. 10 after U.S. President Donald Trump threatened a 100% tariff on Chinese goods, though prices recovered somewhat on Oct. 13.
The latest selloff comes after China hit back at the U.S. with countermeasures on trade. Officials in Beijing said they will launch a probe into the impact of American tariffs on its shipping industry.
Bitcoin and other cryptocurrencies tend to move in tandem with other risk assets such as growth stocks, which are also in the red on Oct. 14.
BTC is now up 18% on the year.
