Bitcoin is getting smashed.The cryptocurrency was down 18% to about $892 per coin as of 8:17 a.m. ET on Thursday.
It is the biggest drop in two years.
Earlier this week, on its first trading day of the new year, Bitcoin crossed above the $1,000 mark for the first time since 2013, but it has now tumbled below that level.
Bitcoin lost 3 billion in market value in 40 minutes.
After falling sharply to a near two-week low today, bitcoin prices are on the rebound.
At the close of CoinDesk's Bitcoin Price Index (BPI) for 5th January, the price of bitcoin was $1,005.82, a figure that was up more than $100 from earlier in the day.
At roughly 14:00 UTC, bitcoin suffered a sudden and sharp selloff, plunging close to $200 in a movement that sparked headlines around the globe.
The decline was all the more shocking to many, as it came just after hours of trading within $20 of the all-time high set in 2013.
Commentators are beginning to suggest that the digital currency may be overbought.