Bitcoin fell below the $27,000 level on Thursday as the recent sell-off in the cryptocurrency space continues, CNBC writes.

Bitcoin’s price was last down 8.76% to $26,848.20 as of 01:47 a.m. ET (05:47 GMT) on Thursday, according to Coin Metrics. Etherium, meanwhile, was down more than 13% to $1832.33.

Cryptocurrencies, considered risky assets like stocks, fell sharply after the U.S. Bureau of Labor Statistics reported that consumer prices jumped 8.3 percent in April, which was slightly above the expectations of economists surveyed by Dow Jones. This spooked investors, causing them to pull back from risky assets.

Cryptocurrencies are highly correlated with the S&P 500 and more recently with the Nasdaq Composite.

“The cryptocurrency market has been under pressure for some time now,” said Michael Rinko, a venture partner at AscendEx. – The Fed keeps raising rates, so stocks keep falling, and cryptocurrencies are falling with them. That tends to cause a lot of fear in the market.”

This is the second time this week that BTC has fallen in the near $29,000 range. Analysts called the support level for the largest cryptocurrency by market capitalization at $30,000 and said it could fall further if it can’t hold at that level.

Investors also got big news from Project Terra, whose popular Terra USD stablecoin collapsed nearly 100% last week, breaking its peg to $1. The decentralized algorithmic stablecoin is supposed to be backed by a combination of digital assets, including bitcoin.