Bitcoin plunged sharply this week, falling to around $60,000, marking its lowest level in over a year and highlighting one of the steepest declines in the cryptocurrency’s history. The world’s largest digital asset has now lost more than 50% of its value from its record high of approximately $126,000 in October 2025.
The sudden drop sent shockwaves through the broader crypto market, with Ethereum and other major tokens also seeing steep declines, collectively erasing trillions of dollars in market value since late 2025. The sell-off accelerated Thursday and Friday as Bitcoin broke through several key technical levels. It first slipped below $70,000, then fell under $65,000, and eventually traded around $60,000 before briefly rebounding.
The sudden movement reflects growing investor caution, as many have retreated from risky assets, including cryptocurrencies and technology stocks, amid mounting market volatility. Institutional withdrawals from Bitcoin exchange-traded funds and the forced liquidation of large long positions have further intensified the decline, contributing to a sense of panic among traders.
This downturn comes after months of strong gains, fueled in part by regulatory optimism and increased institutional interest. However, recent developments, including heightened market uncertainty and investor nervousness, have undermined that momentum. Analysts warn that this slump could signal the start of a prolonged bear market, though some note that extreme volatility is a hallmark of cryptocurrency trading, and temporary rebounds remain possible.
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