Cryptocurrencies have fallen since the comments from the former US President, as the cryptocurrency markets continue their downward spiral.
Bitcoin’s plunged by eight percent from $35,474 at 7.30pm on Monday to $32,585 at 5.30am this morning (Tuesday).
Ethereum dropped by nine percent from $2,710 to $2,466, while Dogecoin fell by the same percentage margin from $0.355 to $0.322.
Mr Trump had told Fox Business that he sees Bitcoin as a “scam” affecting the value of the US dollar.
He said: “Bitcoin, it just seems like a scam.
“I don’t like it because it’s another currency competing against the dollar.”
The former US President added he wanted the dollar to be the “currency of the world”.
Mr Trump has previously spoken out against Bitcoin, which has a tendency to fluctuate wildly when leading figures comment on it.
In 2019, the cryptocurrency plunged by around $20,000 after he said he was “not a fan” of it and rival digital currencies.
In a post on Twitter, from which he has now been banned, the former US President claimed crypto assets could “facilitate unlawful behavior, including drug trade and other illegal activity”.
Neil Wilson, chief market analyst for Markets.com, has disagreed with Mr Trump’s latest comments, and does not think Bitcoin is a currency.
“I call Bitcoin more of a security, like a stock or bond.
“Although it’s appreciated massively, it’s far too volatile to be a currency – it moves around more than most stocks do.”
Commenting on the assertion from Mr Trump that Bitcoin is a threat to the US dollar, he added: “The means by which America exerts influence over the world is predominantly by the dollar, and it’s not going to give that up, so I don’t see Bitcoin as a threat whatsoever.
“Governments don’t like other people creating money – they’ve seemed to tolerate crypto-currencies for some time, but they will eventually get their own digital currencies established and will squeeze Bitcoin out into the margins.”
Bitcoin’s price has been falling sharply over the past two months and is yet to show any signs of a sustained recovery.
Late last month, China said it was banning banks and payment firms from providing services related to crypto-currency transactions.
The week before, electric car maker Tesla had also announced it would no longer be accepting Bitcoin as a form of payment for its vehicles.
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