The value of the cryptocurrency Bitcoin, considered the strongest in the world, dropped by 10 percent on Monday after falling again over the weekend.

Bitcoin prices have now fallen about 20 percent in the past week. At a price below $31,000, after being more than 50 percent above its all-time high near $69,000 from late last year, it reached its lowest level since July 2021.

Other cryptocurrencies, sometimes referred to as altcoins, were also hit hard. Both Ethereum, Binance, Solana, and Cardano fell about 15 percent in the past week, while the Dogecoin, beloved by Elon Musk, fell 10 percent.

Cryptocurrencies have proven to be as risky as stocks and subject to the same concerns.

Cameron, CEO of the trading platform Skilling, said he remains optimistic about Bitcoin in the long term. "More hedge funds and other large institutions have started investing in cryptocurrencies, and some global central banks have also begun embracing them."

But he added that "Bitcoin is not immune to the risk of global inflation spreading across most other asset classes.

Therefore, we should expect the downward trend to continue." Bitcoin is exposed to the same issues that cause stocks to fall: inflation fears, concerns about large interest rate hikes by the Federal Reserve, and worries about a potential economic slowdown.

Hatfield said he believes Bitcoin can fall to $20,000 by the end of the year. The cryptocurrency collapse also harms many stocks. Tammy Da Costa, an analyst at DailyFX, said in a report that traders are "more hesitant to take on the additional risks associated with the digital currency space, and the future of individual coins or tokens remains uncertain," and that "rising interest rates are likely to jeopardize the possibility of short-term gains" in Bitcoin, Ethereum, and other cryptocurrencies.