“Bitcoin’s latest selloff has pushed the world’s largest cryptocurrency into its sharpest monthly losing streak in more than a year, underscoring how fragile risk appetite has become across digital assets.”
The downturn intensified over the weekend as Bitcoin fell nearly 8 per cent in Saturday trading, slipping below the $80,000 threshold and touching levels last seen in April 2025. By midday in New York, the token was trading around $78,160. The weakness extended across the sector, pulling total cryptocurrency market capitalisation below $2.8 trillion.
Losses were widespread among major tokens. Solana dropped about 13 per cent to roughly $102.9, while Dogecoin slid to around $0.10. Ripple fell close to 10 per cent, changing hands near $1.56. Bitcoin’s decline has also altered rankings among global assets, with its market value now trailing Tesla’s, placing it as the world’s 12th-largest asset by capitalisation, according to CoinGecko.
Over the past week, Bitcoin has shed more than 9 per cent. The CoinDesk 20 index, which tracks a basket of leading cryptocurrencies, has fallen 12.4 per cent over the same period. The slide has pushed the Crypto Fear & Greed Index into “extreme fear,” reflecting the souring mood among investors.
The pressure has been driven in large part by shifting macroeconomic expectations. Markets reacted sharply after US President Donald Trump nominated former Federal Reserve governor Kevin Warsh as the next Fed chair. Warsh is widely regarded as more inclined toward tighter monetary policy than current chair Jerome Powell. Following the announcement, the US dollar strengthened and Treasury yields climbed, prompting investors to cut exposure to risk-sensitive assets, including cryptocurrencies, equities and precious metals.
Technical signals have added to the cautious outlook. Glassnode data shows Bitcoin broke below a key support level around $83,400, tied to the cost basis of short-term holders. The move carried prices beneath the “True Market Mean” near $80,700. Even so, Glassnode noted that about 19.5 per cent of short-term holder supply is currently at a loss, a level that points to strain but not widespread capitulation.
Derivatives markets suggest limited confidence in a swift recovery. Funding rates remain subdued, and options traders have increased demand for downside protection, with positioning turning negative below $90,000. That setup can intensify price swings if further support levels give way.
Institutional flows have also weighed on sentiment. Spot Bitcoin exchange-traded funds saw a net outflow of about $818 million in a single session, signalling that large investors are reducing exposure. Ethereum’s steeper decline, including a fall below $2,500, has reinforced concerns that weakness is spreading across the broader crypto market.
Some analysts note that social media sentiment has turned sharply bearish, a condition that has at times preceded short-term rebounds. Still, many say Bitcoin has yet to show the volume surge and reset in leverage typically seen at durable turning points. Without a pickup in spot demand and steadier ETF flows, prices may continue drifting toward the $74,000 to $76,000 range as macro uncertainty remains elevated.
