Price of Bitcoin crashes below £71,000 amid market uncertainty

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Bitcoin price crashes below £71,000 amid market uncertainty

The cryptocurrency fell sharply on Friday evening, as did US tech stocks

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Bitcoin’s value crashed sharply on Friday evening, amid broader market fears over slowing economic growth in the US.

The world’s biggest cryptocurrency fell sharply in panicked overnight trading, and is now down around 6% over the last day.

This morning bitcoin was trading at just below $90,000, its lowest level since November, having peaked at around $105,000 at the time of President Trump’s inauguration last month.

Other crypto currencies fell even more with Ethereum – the second largest digital currency – down 10 % over the past 24 hours. Dogecoin, the currency most closely linked to Trump adviser Elon Musk was also down around 10%.

The total market capitalization of all crypto has fallen by 8%, from over $3.31 trillion to about $3.09 trillion.

The huge sell-off raised fears of a new “crypto-winter” to match the long slump in 2022 and 2023 when bitcoin was trading at little more than $20,000.

Nearly one billion dollars worth of positions were liquidated in 24 hours, according to CoinGlass data. Among them, $277 million long positions on Bitcoin, pointing to a market caught off guard by the suddenness of the movement .

The sell-off coincided with another big drop in share prices in the US tech sector. The Nasdaq Composite dropped over 1%, over concerns about artificial intelligence demand and upcoming earnings from chipmaker Nvidia.

The markets have also been spooked by fears that inflation will stay higher for longer slowing down economic growth in America. Uncertainty over potential tariff wars with Canada and Mexico have also added to concerns.

Augustine Fan, head of analysis at SignalPlus,said that “the sentiment of economic slowdown dominates the markets, with strengthened correlations between stocks, bonds, and cryptos. This explains why we are observing this synchronized correction across all assets.”

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Sentiment was further soured by a massive hack on Friday, which saw over $1.4 billion in ETH and stETH drained from the Bybit exchange’s hot wallet.

Bitcoin’s sell-off comes after a stellar start to the year, which saw the cryptocurrency rally over 60% to hit record highs above $105,000.

The gains were largely driven by Trump’s election victory in November, which sparked a huge wave of interest in bitcoin from retail investors and hedge funds alike.

However, the recent sell-off has raised concerns that the cryptocurrency may be due for a deeper correction after its rapid ascent.

Crypto traders are now bracing for a potential “crypto winter” as the markets digest the recent sell-off and look ahead to the upcoming earnings season and economic data from America.

Bitcoin’s price crashed below £71,000 on Friday evening, as did US tech stocks over fears of slowing economic growth in the US.

The world’s biggest cryptocurrency fell sharply in panicked overnight trading and is now down around 6% over the last day.

This morning bitcoin was trading at just below $90,000, having peaked at around $105,000 at the time of President Trump’s inauguration last month.

Other crypto currencies fell even more with Ethereum – the second largest digital currency – down 10 % over the past 24 hours. Dogecoin, the currency most closely linked to Trump adviser Elon Musk was also down around 10%.

The total market capitalization of all crypto has fallen by 8%, from over $3.31 trillion to about $3.09 trillion.

The huge sell-off raised fears of a new “crypto-winter” to match the long slump in 2022 and 2023 when bitcoin was trading at little more than $20,000.

Nearly one billion dollars worth of positions were liquidated in 24 hours, according to CoinGlass data. Among them, $277 million long positions on Bitcoin, pointing to a market caught off guard by the suddenness of the movement .

The sell-off coincided with another big drop in share prices in the US tech sector. The Nasdaq Composite dropped over 1%, over