Bitcoin and the wider crypto market have shed around $2 trillion in value since their peak in early October 2025, as prices tumbled sharply this week. The world’s largest cryptocurrency has fallen by nearly half from its October record above 124,000 dollars, hitting lows last seen in late 2024. The sell-off has gathered pace since early 2026 amid jitters over US monetary policy and pressure on high-growth tech stocks.
Key Highlights:
- Global crypto market value has dropped from about 4.38 trillion dollars to roughly 2.38 trillion dollars.
- Bitcoin is down about 28% in 2026 and has surrendered gains made after Donald Trump’s re-election.
- Shares of major corporate bitcoin holders have slumped to multi-year lows as digital asset holdings lose value.
- Analysts warn that ETF outflows and a potentially tighter Federal Reserve balance sheet could keep pressuring crypto prices.
Why It Matters:
The steep fall in bitcoin and other tokens is hitting retail traders, institutional investors, and listed companies exposed to crypto on their balance sheets. Continued volatility could tighten financial conditions for these firms and dampen broader risk appetite in global markets.
