Bitcoin (BTC) is trading at around $28325, down 2.7% over the past 24 hours, according to Coingecko data. But the BTC/USD trading pair on the Coinbase exchange fell to $27991 just before the US stock market closed but has since rallied again.
Edward Moya, the senior market analyst at the forex market maker, thinks that Bitcoin's recent drop occurred after Coinbase CEO Brian Armstrong revealed that the crypto giant could leave the United States.
“Coinbase was able to secure a license to operate in Bermuda, which is being seen as part of their global push,” Moya wrote.
“If Coinbase leaves the US market, a lot of US merchants will leave because they probably won't feel confident trading on decentralized exchanges, which means crypto markets. global mortality will shrink dramatically.”
Ethereum (ETH) at one point dropped to $117, the lowest level in the past week. BTC and ETH are down nearly 7% and 3%, respectively, over the past seven days.
Most Altcoins are in the red, XRP and Litecoin (LTC) have also recently dropped more than 5%.