- Getty/Win McNamee
The cryptocurrency had a drawdown of up to 14% in the 10 days after September 12, when Dimon compared it to the tulip bubble of the 1600s and vowed to fire traders who used it.
Also that week, BTCChina, a major exchange, announced that it would stop all trading on September 30, as regulators moved to contain potential financial risks.
By Thursday, bitcoin had all of the losses. It was up nearly 2% from the lows on the day Dimon spoke, at $4157.31 per coin at 10:28 a.m. ET.
The move illustrates bitcoin’s wild volatility; it’s gained 331% this year, unheard of for any major currency and most financial assets. It also shows why many Wall Street professionals like Dimon don’t see it as a legitimate store of value but as a speculative instrument.
- Andy Kiersz/Business Insider