Bitcoin’s latest crash has intensified concerns about the broader health of the crypto market, which has struggled to regain momentum since President Donald Trump returned to office.
The world’s largest cryptocurrency suffered a brutal sell off Thursday, plunging 13 percent in a single day and falling as low as $61,000. The drop marked Bitcoin’s worst one day decline since the collapse of FTX in late 2022 and wiped out billions in market value within hours.
While Bitcoin staged a modest rebound Friday, briefly climbing back toward $70,000, analysts say the recovery does little to offset months of sustained weakness. Since Trump took office, Bitcoin has remained under pressure, failing to reclaim its prior highs and repeatedly sliding on macro uncertainty, regulatory fears, and fading investor confidence.
Market data shows Bitcoin is now down roughly 50 percent from its record peak of $126,000 reached last October. The prolonged slump has left many investors underwater, particularly institutional players who entered the market through Bitcoin ETFs at much higher price levels.
For now, Bitcoin’s sharp plunge has reinforced a growing narrative that the crypto market is still searching for stability in the post election landscape, with investors watching closely to see whether the worst of the downturn is over or if further losses lie ahead.
