Bitcoin price falls below $33,000 in a boom-and-bust cycle.

The most popular cryptocurrency market value has dropped to $556 billion. 

In a short period, the Bitcoin price has established itself as the most volatile digital currency of all time. The cryptocurrency, worth roughly $7,000 at the start of 2020, reached a high of $64,829 in mid-April. Since then, it has dropped below the critical $30,000 level for the first time since June 22. Bitcoin's price has fallen by more than 6% to $29,671, its lowest level since January 27. 

The digital currency has had a rough year, plummeting from record highs to less than half of its former grandeur. The Bitcoin price drop followed a significant sell-off in global markets.

China's Miner Exodus: According to the South China Morning Post, this year's slump was prompted by the Chinese government's "crackdown on Bitcoin mining and trading conduct." China accounts for 65 per cent of worldwide Bitcoin mining. Many believe that China's assault on cryptocurrencies is intended to clear the way for the country to develop its digital currency. The action substantially impacts the value of prominent cryptocurrencies such as Bitcoin and Ethereum. With China out of the picture, the future of cryptocurrencies that rely on large-scale mining is looking dismal.

Elon Musk Drops Bitcoin: Elon Musk, a crypto enthusiast and Tesla CEO, played the devil's advocate, with the manufacturer first accepting Bitcoin as a means of payment, only to reverse the decision a few months later. Musk indicated that Tesla would ban consumer usage of the digital currency owing to long-standing environmental worries about the carbon impact of Bitcoin mining. Cryptocurrency supporters reacted angrily, accusing the CEO of manipulating markets.

According to Fortune, Bitcoin's current price decline is a watershed moment for the electric car manufacturer, which made a massive $1.5 billion investment in the digital currency earlier this year, purchasing around 41,000 Bitcoin for $32,000. It's yet another indication of Bitcoin's fluctuating worth. 

Despite a 10% drop in April, the automaker's advantages have faded. 

Overall, it's another indication of Bitcoin's unpredictable value. Although the digital cryptocurrency has acquired acceptability in many sectors, it is unlikely to become a viable dollar alternative soon. 

What is your Bitcoin price forecast for the end of the year?