Bitcoin falls more than 50% from its all-time highs amid crypto sell-off

Yahoo Finance's Brian Cheung breaks down bitcoin's performance in recent months.

Video transcript

BRIAN CHEUNG: Well, I don't need to tell anyone this, but it's been a rough year for Crypto. And in our chart of the day, I just want to walk you through all of the craziness that's been going on in the markets.

If we take a look at the Wi-Fi interactive, you could see that just today Bitcoin, as far as the index against the U.S. dollar fiat, is under 30,000. If you take a look at a year to date basis, this has been a precipitous slide from where it was. But also just keep in mind, that over a one year basis, we have seen Bitcoin at levels like this. It was around July of last year.

And we have to remember that this is really important to watch. Because it is looped into the big story with regards to Luna and Terra, that we were following last week. Luna was a big holder of Bitcoin reserves at one point.

They had about 80,000 Bitcoin. That went down to about 300. Which we're trying to liquidate right now to try to redeem their holders in that project. A $40 billion ecosystem that essentially collapsed.

And if you're trying to find, by the way, Luna on this kind of panel of cryptocurrencies. It would be really small here, because the market cap is essentially zero. If you take a look on a weighted basis. That's UST.

If we take a look at Luna, again, you can see the massive drop that took this whole project back to zero. This happening as Sam Bankman-Fried talks about the idea of Crypto broadly. Again, the head of FTX saying over the weekend, that Bitcoin has potential as a store of value, but not as a means of payment.

And that has brought a lot of interesting speculation to the space, about whether or not Bitcoin could be going down further sometime soon.

- Yeah, Sam Bankman-Fried has really been out front on Twitter, very vocal over the last several weeks. Sort of trying to explain to people what's actually going on. We had FTX on last week talking about the differences with the stablecoins, too. But--