Bitcoin tumbles to six-week low, then rebounds, after report of DOJ probe into price manipulation

Bitcoin dipped Thursday after a report that the Justice Department has opened a criminal investigation into whether traders are manipulating the price of cryptocurrencies.

The price of the largest digital currency by market capitalization initially fell, before recovering and trading a touch higher on the day near $7,520, according to CoinDesk’s bitcoin price index.

Earlier, bitcoin dropped 3 percent to $7,272, its lowest since April 12. Bitcoin fell below $8,000 on Wednesday.

Early Thursday, Bloomberg reported that the Justice Department is investigating whether traders are using illegal market moves to trick others into buying or selling cryptocurrencies.

The Commodity Futures Trading Commission is also working on the probe, said the report, which cited sources…

Read Full: Bitcoin tumbles to six-week low, then rebounds, after report of DOJ probe into price manipulation