On Friday, Bitcoin, the world’s largest cryptocurrency by market capitalization, dropped as much as 7% to $78,273, marking its lowest point since November 10. This decline represents a fifth consecutive day of losses, with the cryptocurrency down 16% for the week—its steepest weekly drop since the FTX exchange collapse in November 2022. The overall cryptocurrency market has suffered nearly half a trillion dollars in losses over the past week, according to data from Coingecko.
Bitcoin Hits Lowest Price Since November Amid Market Turmoil
Bitcoin has plummeted to its lowest price since November, positioning itself for its largest weekly decline in over two years. The cryptocurrency is caught in a significant sell-off, driven by a broader downturn in tech stocks, a recent $1.5 billion hack, and escalating concerns about U.S. cryptocurrency regulations, all of which have contributed to a fragile market sentiment.
Analyst Insights: Economic Concerns Weigh on Bitcoin Traders
Matt Simpson, a senior market analyst at City Index, noted, “Inflationary pressures and deteriorating growth prospects are alarming investors. With Trump’s tariffs still in effect and his attention diverted, Bitcoin traders are growing more anxious.” There are increasing fears that the unique strength of the U.S. economy may be waning, leading to unease regarding President Donald Trump’s tariff policies, which have raised concerns about rising global inflation and a potential slowdown in economic growth.
