Ned Segal’s comments likely provided a reason for traders to take some risk off the table in the wake of the rising dollar and U.S. tax reporting requirement.
Bitcoin, ether, and other major coins face selling pressure as anti-crypto comments from Twitter’s chief financial officer soured the market mood. The continued strength in the dollar index likely added to bearish forces.
Bitcoin was trading 4.3% lower on the day near $60,800, while ether was nursing a 5.3% loss at $4,320 at press time, according to CoinDesk data. Litecoin, binance coin, Polkadot’s DOT token, and prominent decentralized finance coins flashed bigger losses.
The selling began during early Asia hours after Wall Street Journal quoted social media giant Twitter’s CFO Ned Segal saying that investing cash holdings into crypto assets like bitcoin “doesn’t make sense” right now.
Segal cited price volatility and the lack of accounting rules for these assets as critical factors stopping the company from diversifying into cryptocurrencies. Few companies like Square, Tesla, and MicroStrategy have acquired bitcoin as a reserve asset, widespread corporate adoption remains elusive to date. On Monday, analysts told CoinDesk that bitcoin’s relatively high price volatility is delaying its transition to haven asset from a risk-on or speculative investment.