Bitcoin Sheds 15% and Briefly Slips Under $61,000 as Week-Long Sell-Off Deepens

Bitcoin extended its recent slide on Thursday evening, tumbling as much as 15% and momentarily breaking below the $61,000 threshold. The world’s largest cryptocurrency hit an intraday low of $60,062.00 before recovering slightly to $62,448.00 at 7:37 p.m. ET. The pullback capped a volatile week in which the token lost nearly 30% of its market value, pulling prices closer to levels last seen before the U.S. presidential election.

Sharp reversal from October peak

The latest downdraft leaves bitcoin more than 50% beneath its early-October high of just over $126,000, undermining the narrative that the asset functions as a reliable hedge against inflation or market turmoil. Instead, bitcoin has largely traded in tandem with risk-oriented assets, a correlation that has intensified during recent geopolitical flash points in Venezuela, the Middle East and Europe.

Key technical levels breached

Selling pressure accelerated after the cryptocurrency fell under $70,000 earlier in the session, a level analysts had identified as a critical line of support. Market researchers at CoinShares noted that a sustained break below that mark increases the probability of a move toward the $60,000–$65,000 band, an outlook that unfolded within hours. Deutsche Bank strategist Marion Laboure wrote in a client note that consistent outflows signal waning enthusiasm among conventional investors and broader skepticism toward the digital-asset class.

Broader crypto market under strain

Losses were not limited to bitcoin. Ether retreated 33% over the past seven days, while Solana slipped to $88.42 on Thursday, its lowest level in roughly two years and nearly 40% lower for the week. XRP and other large-capitalization tokens also registered double-digit declines.

Comparison with traditional havens

The sell-off contrasts sharply with performance in traditional safe-haven instruments. Gold futures have advanced 61% during the past twelve months, while bitcoin is down close to 40% over the same period. Silver, however, mirrored some of bitcoin’s volatility, registering another steep drop on Thursday.

Tech stocks add to risk-off mood

Weakness in U.S. technology equities compounded the negative sentiment. The Technology Select Sector SPDR ETF (ticker: XLK) fell 1.8% for its third consecutive daily loss, reflecting concerns that higher interest rates and slowing earnings could pressure growth-oriented sectors. The retreat in equities reinforced outflows from speculative corners of the market, including cryptocurrencies.

Forced liquidations amplify declines

Rapid price swings triggered a wave of automatic sell orders as leveraged positions hit predetermined thresholds. Data provider Coinglass estimated that more than $2 billion in long and short crypto positions were liquidated this week, erasing substantial speculative capital and accelerating the slide. Observers noted that such forced sales can intensify downward momentum by removing liquidity precisely when prices are falling most sharply.

Institutional demand reverses course

Institutional flows, once viewed as a stabilizing force for bitcoin, have turned negative. Blockchain analytics firm CryptoQuant reported that U.S. exchange-traded funds accumulated about 46,000 bitcoins at this point last year but have been net sellers in 2026. The firm added that the token has traded below its 365-day moving average for the first time since March 2022 and has declined 23% in the 83 days following that break—an even steeper drop than during the early-2022 bear phase.

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Liquidity and macro considerations

Market participants increasingly attribute bitcoin’s path to broad liquidity conditions rather than to narratives about digital scarcity. Maja Vujinovic, who oversees digital-asset strategies at FG Nexus, observed that the straight-line bull run many traders anticipated has failed to materialize and that price action now mirrors shifts in global capital flows rather than hype-driven enthusiasm.

Utility questions persist

Adoption of cryptocurrencies for everyday transactions remains limited, and regulatory scrutiny has intensified. According to policy papers published by the U.S. Securities and Exchange Commission, enforcement actions and disclosure requirements for digital-asset platforms have expanded, adding compliance costs and uncertainty. Meanwhile, real-world use cases such as payments for goods and services have yet to achieve meaningful scale, reducing bitcoin’s appeal as an alternative to fiat currencies.

Outlook: further volatility expected

Technical indicators and deteriorating sentiment suggest continued turbulence. CryptoQuant analysts warned that a sustained break under long-term moving averages opens the door to a deeper move into the $60,000 zone, with potential spillovers into adjacent tokens. Traders are monitoring macroeconomic data releases and central bank commentary for clues on liquidity conditions that may influence risk appetite broadly.

For now, bitcoin’s retreat from record highs underscores the fragility of bullish narratives that dominated earlier in the year. Whether the asset regains momentum may depend less on branding as “digital gold” and more on evidence of durable demand—both institutional and retail—in an environment of rising interest rates and heightened market scrutiny.

Crédito da imagem: Cheng Xin | Getty Images