Bulletins

Crypto is crashing. Is this a dip or the end?

Bitcoin, Ethereum, and most other coins are down big. Some see a bump in the road, others see the end of an era.

Bitcoin

Practically the entire cryptocurrency industry dropped precipitously on Wednesday. Bitcoin went down more than 30%, to a low of about $30,000, which is roughly half the price from 10 days ago.


Ethereum dropped by more than a quarter, to $1902. XRP, Litecoin, Bitcoin Cash, and almost every other cryptocurrency of note has seen huge drops over the last 24 hours. The selloff caused such trading volume that Coinbase appeared to be down for some users. Binance, meanwhile, paused some withdrawals "due to network congestion." Even stocks associated with cryptocurrencies, like Tesla and Coinbase, were down substantially on Wednesday morning.

Of course, when you zoom out a bit the losses look a bit less catastrophic. Many prices are the lowest they've been … since a few months ago. Long-term investments in cryptocurrencies continue to look spectacular, just substantially less so.

But the question on everyone's mind is: Have we passed the peak? The top of a market is always only obvious in retrospect, and a lot of people across the crypto industry are now looking back and seeing exactly where it may have been. The blockbuster Coinbase IPO, in which the company nearly instantly became an $85 billion tech giant, is one obvious point. The wild explosion in NFT prices was another. Another was Elon Musk hosting Saturday Night Live. Or Musk tweeting about Dogecoin and Bitcoin relentlessly for weeks, sending prices in all directions with every 280-character missive.

Musk's quick turn on Bitcoin, for environmental reasons, could have been the first sign of the crash. When he seemed to imply that Tesla might be selling all its Bitcoin, that was another one. The Chinese government's continuing crackdown on crypto was yet another, and seemed to be the most immediate cause of this week's selloff.

Anyone who's been in the crypto game a while offered the same advice as always: hold on for dear life. "The Bitcoin market has its way of separating true believers from tourists," Hiro CEO Muneeb Ali tweeted. Almost as soon as the prices started dropping, #buythedip started trending on Twitter. Others preached patience. "Entities I control have now acquired 111,000 #BTC and have not sold a single satoshi," MicroStrategy's Michael Saylor tweeted. "#Bitcoin Forever."

(As if to prove his power and to quell fears about Bitcoin's future, Musk himself tweeted on Wednesday morning that "Tesla has 💎 🙌." The price of Bitcoin promptly jumped almost $3,000.)

With no underlying asset or particular restriction to keep it moored, cryptocurrency trading is a pure momentum game: Prices going up leads to excitement leads to prices going up, and prices going down leads to panic leads to prices going down. Bitcoin believers see another dip in the inevitable rise of cryptocurrency, while skeptics see the world finally seeing the Emperor with no clothes on.

Update: This post was updated on 5/19 with Musk's tweet and updated information.

Latest Bulletins

Outgoing Airbnb policy chief Chris Lehane confirmed in a tweet Friday that he is joining Katie Haun's crypto fund.

Keep Reading Show less

Crisis Text Line, a nonprofit that uses text messaging to help people struggling with suicide and other mental health issues, has been sharing data collected during those text conversations with a for-profit spinoff. The spinoff, Loris.ai, uses that data to create customer service software and has a revenue-sharing agreement with Crisis Text Line, according to a new POLITICO investigation.

Keep Reading Show less

If a friend contacts you on Facebook asking to be more than friends, maybe think twice about why they’re not texting — or calling — you instead. Romance fraud is rampant on social media, and it’s gotten even bigger in 2021, according to a report from the Federal Trade Commission.

Keep Reading Show less

For many users around the world, WhatsApp is the internet. It's where more than 2 billion people chat with their friends, order food, send money, shop for clothes and much more. It has become a true super app, similar to WeChat in China, for a huge number of users.

Keep Reading Show less

The question of "is sending a Calendly link rude?" comes up often enough that the scheduling app has a whole blog post and ebook addressing it. The latest Twitter debate stems from a post by former Facebook VP Sam Lessin calling Calendly "The Most Raw / Naked Display of Social Capital Dynamics in Business."

Keep Reading Show less

Robinhood shares plunged late Thursday, falling below $10 after the company reported disappointing results and a revenue outlook that well below what Wall Street was expecting.

Keep Reading Show less

A New York law taking effect May 7 requires employers to disclose electronic monitoring of their workers. This is similar to workplace monitoring laws already in effect in Connecticut since 1998 and Delaware since 2017. Federally, employers may spy on their employees as they perform work duties.

Keep Reading Show less

Proponents of the America Competes Act of 2022, introduced this week in the U.S. House of Representatives, said the legislation would make the U.S. supply chain stronger and help the country's technology industry compete with China. The crypto industry is worried the sector will be collateral damage.

Keep Reading Show less

Tesla has sued a Chinese car influencer with 14 million followers for defamation, the company’s Chinese office confirmed to several media outlets on Wednesday. It’s the latest example of Tesla striking back at popular allegations in China about its safety issues, particularly around brake malfunctions.

Keep Reading Show less

Google is increasing its leave benefits for parents, parents who give birth and those caring for seriously ill loved ones, the company announced Thursday.

Keep Reading Show less

SoftBank COO Marcelo Claure may step down as soon as today, CNBC reported.

Keep Reading Show less

In Tesla's fourth-quarter earnings call Thursday, Elon Musk said the company won’t produce any new models this year.

Tesla reported overall strong earnings with revenue growing 65% year-over-year in the quarter, and automotive revenue rising to $15.97 billion. Musk addressed a range of issues during the call, including the persistent chip shortage, supply chain concerns and Tesla’s autonomous vehicle push.

Keep Reading Show less

Regulators in China said today they will allow AMD to acquire Xilinx, the Wall Street Journal reports. It’s the last regulatory hurdle the company needed to cross to complete the largest deal in its history.

Keep Reading Show less

About 100 company leaders are pressing their colleagues to improve the workplace for people with disabilities and evaluate their inclusion of people with disabilities, Disability:IN announced Thursday.

The letter’s newest signatories of the “CEOs Are IN” campaign include the heads of Micron Technology, Tripadvisor and other tech and health care professionals. Accenture, Intel and Microsoft are among the first companies to back the letter when it was first released in 2019. These companies pledged to make disability inclusion a business priority by participating in an assessment of their disability inclusion and equality practices.

Disability:IN CEO Jill Houghton said focusing on diversity, equity and inclusion efforts will help create sustainable companies, especially in light of the Great Resignation. “By encouraging CEOs to make disability inclusion a business priority, these 101 signatories are joining IN to positively transform lives and create financial and social impact,” Houghton said in a release.

The signatories pledged to take part in the Disability Equality Index, which is administered by Disability:IN and the American Association of People with Disabilities. Participants of the assessment receive a score between 0 and 100, with scores over 80 indicating that they are the “Best Places to Work for Disability Inclusion,” according to the release. The DEI looks at criteria within six categories including culture and leadership, community engagement and supplier diversity. The organization added questions related to board diversity this year, and the findings from those questions will be released in July, according to Disability:IN's Houghton.

Of the 319 companies that took the examination last year, 272 scored 80 or above, Houghton said. Adobe, Dell and Cisco were among dozens of companies to receive a score of 100 in 2021; Amazon and VMware were given scores of 90%; and Snap, Micron and Workday received scores of 80%. Registration for the Disability Equality Index is currently open, and results are released in July.

The Diem Association, a Meta-backed crypto project, is winding down and selling its technology to Silvergate Capital for $200 million, the Wall Street Journal reported on Wednesday.

Keep Reading Show less

The Amazon Labor Union has reportedly gotten a "sufficient showing of interest" in holding a union election among JFK8 warehouse employees in Staten Island, New York.

Keep Reading Show less

Shares of LendingClub fell in after-hours trading Wednesday after posting weaker-than-expected revenue outlook, despite reporting strong results. The fall below $20 wiped out almost all the gains the company saw in a rally that ran from July to November as its neobank strategy showed strength, taking shares from around $16 to as high as $49. With inflation on the rise and other threats looming, that strategy's freshly in question.

Keep Reading Show less

A Walmart-backed fintech startup is buying two companies in an effort to become the latest super app to handle all of a consumer's financial needs.

Keep Reading Show less

UBS is buying robo-adviser Wealthfront for $1.4 billion, the financial services giant said Wednesday.

Keep Reading Show less

Amazon has stopped paying warehouse workers to sing the company's praises on social media, according to the Financial Times.

Keep Reading Show less

The Business Roundtable, whose members include more than 230 CEOs of some of the world’s largest companies, want “rational” and “flexible” government regulations for AI. The group, which includes CEOs of tech, financial services and defense industry giants such as 3M, Amazon, Bank of America, Google, Mastercard, Northrop Grumman, Oracle and Verizon, published a set of guidelines Wednesday for businesses implementing AI and recommendations for policymakers.

Keep Reading Show less

Google broke the internet last year with its plan to break the internet last year.

Of course, I’m talking about FLoC, Google’s poorly named plan to kill off the third-party cookie and allow advertisers to target “cohorts” of anonymous users instead. It managed to piss off everyone, with privacy groups calling it invasive and the ad industry calling it anticompetitive.

Keep Reading Show less

The Diem Association, a controversial Meta-backed cryptocurrency project, is reportedly looking to sell its assets to return capital to investors, Bloomberg reported.

Keep Reading Show less

Boris Johnson said on Tuesday that he is talking to the U.S. about a possible Russian ban from the SWIFT system, which undergirds global payments. Amid increasing threats of a Ukraine invasion, Western governments are looking for deterrence measures.

Keep Reading Show less

Russia’s Ministry of Finance is opposed to the Central Bank of Russia’s proposed crypto ban, calling for regulation instead of a complete ban.

Keep Reading Show less
Bulletins