Prices of Bitcoin and other digital tokens slumped on Tuesday possibly due to security concerns on the crypto space, CNBC reported.

BTC/USD chart
  • The price of Bitcoin fell by over 7% to $32,936 on Tuesday morning. It is now up by only 13% year-to-date, erasing most of the gains in the past months. Other tokens also recorded downward movements — Ether by 7% to $2,512, and XRP also by 7%.
  • The reason for the decline is unclear but comes on the heels of reports that American authorities were able to access an account of one of the cybercriminals that hacked Colonial Pipeline.
  • Law officials said they were able to recover $2.3 million in Bitcoin paid to DarkSide which was found to be behind the ransomware attack on Colonial. The FBI gained access to a password of one of the hacker’s Bitcoin wallets.

Cryptocurrencies have recently been weighed down by concerns over a possible regulatory crackdown and the environmental impact of mining activities. BTC/USD is down 10.37%; ETH/USD down 12.06%; XRP/USD down 11.35%.