Bitcoin enthusiast.. Where is the bottom?
The recent movement of Bitcoin was not just a traditional pullback in a highly volatile market, but a fierce sell-off reminiscent of cryptocurrency winter periods, as the world's largest digital currency plummeted more than 52% from its peak recorded in October 2025 above $126,000.
And although Bitcoin fell more than 13% to near $60,000 on Thursday, its lowest level in over a year, it rose to $70,000 on Friday; however, it lost 15% over the week.
The recent wave of decline did not come from nowhere, as it coincided with widespread losses in the cryptocurrency market as a whole, where the market lost nearly two trillion dollars in value since the peak at $4.379 trillion in early October.
Why the sharp decline?
- One of the main engines for the decline was the change in the overall mood in global markets, especially with the recent wave of selling that affected precious metals, as investors' appetite for risk decreased, which pressured prices and intensified the decline.
- Additionally, Bitcoin is no longer moving in isolation from Wall Street, as the recent wave of selling in tech stocks amid fears of an AI bubble burst directly reflected on cryptocurrencies, making any decline in this sector a rapidly spreading contagion to the crypto market.
- The decline accelerated after U.S. President Donald Trump announced the nomination of Kevin Warsh to head the Federal Reserve, succeeding Jerome Powell, and as prices broke important psychological barriers, a series of liquidations of leveraged positions began, turning losses into a vicious cycle of forced selling $XRP
