Bitcoin briefly falls below $90,000 to lowest since April as cryptocurrency gives up 2025 gain
Explainer Bitcoin and Ether tokens during the listing ceremony of spot Bitcoin and spot Ether ETFs held by China Asset Management at the Hong Kong Stock Exchange in Hong Kong, China, on Tuesday, April 30, 2024.
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Bitcoin This year is in the red as investors continue to shed speculative technology assets, with cryptocurrency taking the top spot among them.
Bitcoin was last trading around $91,000 but touched $89,259 early Tuesday, its lowest level since April 22. With Tuesday’s losses, Bitcoin is now down 2% annually, according to FactSet.
The move comes after investors dumped AI-related technology assets on the stock market this month. Bitcoin appeared to herald a risk-off move; It reached a record high above $126,000 in early October and has been declining since then.
Bitcoin, YTD
The tech-heavy Nasdaq-100 stock index has lost 4% this month following the decline of cryptocurrencies. Many big tech investors are also big owners of the cryptocurrency space.
Mike O’Rourke, chief market strategist at Jones Trading, said the correlation between Bitcoin and the sell-off in tech stocks this week is “undeniable.”
“The fact that a $1.8 trillion market cap speculative asset significantly impacts the $32 trillion market capitalization index is truly a tailspin,” O’Rourke said. “It is worrying to see that the index, which is so heavily exposed to the world’s largest and most influential companies and the US stock market, is taking cues from Bitcoin.”
Strategy (MSTR)Bitcoin, which uses leverage to buy Bitcoin and is considered a risky proxy for the cryptocurrency, fell again in premarket trading on Tuesday, facing a 27% loss for November heading into the session.
