Well-known bitcoin (EXANTE: Bitcoin) supporter and Chief Executive of crypto investment firm Galaxy Digital Michael Novogratz says the recent bitcoin drop might be caused due to the loss of investors' confidence.
Novogratz says bitcoin was always "a confidence game."
Meanwhile, DeFi Project MakerDAO could experience an emergency shutdown after ethereum (ETH) loses 30%.
As a result of the sharp decline in the price of the second-largest cryptocurrency by market cap, $4M of its stablecoin Dai are not backed by their underlying crypto asset. If MakerDAO eventually experiences a shutdown, 2,4 million ETHs might arrive on the market.