Bitcoin and other cryptocurrencies are taking a beating on Monday after China renewed its crackdown.
The world's largest digital currency by market cap fell to the $32,000 level in choppy trading after the People's Bank of China told financial institutions to stop processing transactions in the space. Etherem, Dogecoin and XRP also tumbled in sympathy.
Stocks and exchange-traded funds related to cryptos were also under pressure.
|COIN||COINBASE GLOBAL INC.||133.76||+9.04||+7.25%|
|BITQ||EXCHANGE TRADED CONCEPTS TRUST BITWISE CRYPTO INNOVATORS E||8.96||+0.70||+8.47%|
This is the third time in recent weeks China has rocked the market with a negative tone toward cryptos.
Last month, Vice Premier Liu He promised to "prevent and control financial risks" to the country's monetary system.
We will "focus on reducing credit risks, strengthen the supervision of platform enterprises' financial activities, crackdown on Bitcoin mining and trading behavior, and resolutely prevent the transmission of individual risks to the social field," he said, according to remarks reviewed by FOX Business.
This followed China's Banking Association, which delivered a similar warning on digital currencies being subject to great volatility.
Gains have slimmed for Bitcoin this year, but it is still up over 9% year-to-date.