Bitcoin fell below $92,000 on Tuesday, nearing its lowest level since November. The drop wiped out over $100 billion from the crypto market within 24 hours, as investors reacted to rising economic uncertainty and geopolitical tensions.
Market Sentiment Weakens
The selloff in risk assets started last week, driven by concerns over the US economy. TradingView reported that the slide worsened due to President Donald Trump’s tariff threats and the Federal Reserve’s firm stance on interest rates. Additionally, a reported hack on cryptocurrency exchange ByBit further dampened investor confidence.
ByBit Hack Raises Security Concerns
Dubai-based crypto exchange ByBit confirmed that hackers breached its Ethereum cold wallet, an offline system meant for secure storage. The attackers stole large amounts of ether and quickly liquidated the tokens through multiple platforms.
Bitcoin’s Highs and Lows
Bitcoin’s recent decline follows an all-time high of nearly $110,000, which was fueled by Trump’s pro-crypto stance. In January, he pledged to make the US the “crypto capital of the planet,” promising regulatory clarity for digital assets.
MicroStrategy Expands Bitcoin Holdings
MicroStrategy, led by Michael Saylor, added 20,365 Bitcoin worth nearly $2 billion to its treasury. The company now holds 499,096 Bitcoin, valued at approximately $33.1 billion. Saylor, known for his bullish stance, once stated, “Every Bitcoin you don’t buy is gonna cost you $13 million.”
Global Crypto Regulations
Governments worldwide are shaping crypto policies. Malaysia and Thailand are considering regulatory changes, while Japan, South Korea, and Cambodia are slowly expanding adoption. Meanwhile, Hong Kong, Singapore, and Dubai have strengthened their positions as crypto hubs amid skepticism from US regulators under President Joe Biden.
