Bitcoin

briefly slumped to around US$72,000, a level last seen 15 months ago, as a broad risk-off move engulfed global markets.

The world’s largest cryptocurrency is extending a downward spiral that has seen it shed more than 40 per cent from its peak in October last year. Bitcoin fell as much as 5.4 per cent to US$72,047 on Wednesday. That’s the weakest level since Nov. 6, 2024, the day after

Donald Trump

was re-elected U.S. president.

“The market is currently navigating a ‘crisis of faith,’” said Shiliang Tang, managing partner of Monarq Asset Management.

While earlier legs of the decline were driven by crypto-specific liquidations, the Wednesday pressure is tied to wider cross-asset stress.

Markets entered a period of synchronized selling Wednesday, with the Nasdaq 100 down more than two per cent and losses spreading across software, chipmakers, and other rate-sensitive corners of the equity market.

“Were not seeing much panic from our clients – more so seeing BTC trade in lockstep with Nasdaq the last two days to the downside,” said Greg Guttas, head of OTC trading at crypto investment firm Flowdesk.

Flows to U.S.-listed bitcoin exchange-traded funds remain choppy. After seeing about US$562 million in net inflows on Monday, investors pulled out US$272 million from the group on Tuesday, according to data compiled by Bloomberg.

Skepticism about bitcoin’s role as a safe haven during market stress is growing. The token is now down nearly 40 per cent from its October record, and the broader crypto market has lost over US$460 billion in value since late last month.

With assistance from Sidhartha Shukla

Bloomberg