Bitcoin has plunged to its lowest level since mid-November as "carnage" hits stock markets across the globe.
The world's best-known cryptocurrency dropped as low as $5,947.40 (£4254.59) – down 14 per cent on the previous day – before recovering slightly on Tuesday, according to CoinDesk.
The value of Bitcoin surged during 2017 – it was valued at about $1,000 a year ago before peaking at about $20,000 in December.
However it has now lost more than 50 percent this the year so far.
On Friday it dipped below $8,000 amid a major sell-off, having been hit by both by a growing threat of regulation and an investigation into Bitfinex (a leading digital currency exchange) and crypto firm tether.
Lloyds Banking Group and Virgin Money have banned credit card customers from buying Bitcoin amid fears they could be left in debt as the cryptocurrency's value continues to plunge.
The latest wobble comes after the US stock market suffered its worst drop in more than six years on Monday.
The Dow Jones industrial average index plunged more than 1100 points to close at 24,345.75 on Monday.
European stock markets were braced for huge falls on Tuesday morning, with the FTSE 100 dropping sharply amid dramatic global sell-offs.
The UK benchmark index tumbled by 3.5 points shortly after the market opened.
Shares also tumbled in Asia on Tuesday morning following the dramatic day in the US market.
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