Wall Street and corporate America have finally bought into Bitcoin, just in time for one of the ugly crashes the cryptocurrency regularly experiences.
Stocks slumped for a third day as a bust in the world of crypto — until recently considered a side show to actual financial activity — bled into the broader markets and hammered shares closely linked to the difficult-to-define digital assets.
The S&P 500 was down about 1 percent by midday, after dropping 0.9 percent on Tuesday with a sudden sell-off in the final hour of trading. The Nasdaq composite was down about 0.8 percent. Technology stocks led the declines.
But the decline in the mainstream stock markets was a faint echo of the crash in the market for cryptocurrencies in recent days.
Bitcoin was down 15 percent on Wednesday after recovering from an even steeper drop. Ethereum, another cryptocurrency, was down 20 percent. The tumble followed an announcement from the…