Bitcoin extended its steep downturn on Monday, slipping to $89,426 before stabilising just above $90,000, deepening concerns of a further slide toward the $80,000 mark. The latest drop comes as the cryptocurrency continues to unwind more than 30 percent from its October peak of $126,000, erasing all gains made this year.
Bitcoin tumbled to $89,426 on November 18 and continued to hover just above $90,000 — a drop of more than 30 percent from its October peak of $126,000. Fears of the price sliding further toward the $80,000 mark have intensified, driven by offset selling from new entrants.
The sustained decline means Bitcoin has erased all its gains since the start of 2025. It is now down over 5.3 percent from yesterday’s close and at its lowest level since April 2025, when it briefly slipped below $75,000.
More than $1tn (£760bn) has been wiped off the value of the global cryptocurrency market in the past six weeks amid growing concerns of a tech bubble and fading expectations of a US rate cut next month. The broader crypto market — tracking over 18,500 coins — has fallen by a quarter since its early-October high, according to CoinGecko. Bitcoin itself has declined 27 percent over the same period to $91,212, its lowest since April.
Global investor sentiment has turned sharply risk-off. Fears of an artificial intelligence bubble are weighing heavily on equities, with even Alphabet CEO Sundar Pichai warning in an interview with the BBC that there is “irrationality” in the current AI boom and that if the bubble bursts, “no company is going to be immune, including us.”
Market losses reflect the anxiety. The UK’s FTSE 100 fell 1.2 percent on Tuesday — its fourth straight day in the red — while the Stoxx Europe 600 also dropped 1.2 percent. In Asia, Japan’s Nikkei 225 slid 3.2 percent and Hong Kong’s Hang Seng fell 1.7 percent.
Klarna CEO Sebastian Siemiatkowski also voiced concern, telling the Financial Times he was “nervous” about the massive investments flowing into computing infrastructure. He added that skyrocketing valuations of AI-linked companies, including Nvidia — the first to hit $4tn in market value, followed by Apple and Microsoft — were another red flag. With index funds heavily exposed, he warned that these trends affect “your pension right now.”
Crypto-specific pressures have added to the turbulence.
“Bitcoin fell below $90,000 for the first time in seven months, influenced by factors such as uncertainty around potential US interest rate cuts, broader negative equity market sentiment, and large holders reducing their positions. While some point to death cross, similar patterns in the past have also preceded recoveries. Overall, the movement reflects a period of short-term volatility across markets. For some participants, the pullback may also be viewed as an opportunity to accumulate at lower levels,” said Ashish Singhal, Co-founder, CoinSwitch.
Major altcoins mirrored the decline, with Ethereum down 5.6 percent, XRP 3.8 percent, Binance Coin 3 percent, and Solana 3.2 percent in the past 24 hours.
“Bitcoin is falling not because its fundamentals have deteriorated. It is falling because global markets have swung into a classic risk-off phase. Let us acknowledge that in barely a month, the price has slid almost 30% from the October peak near $126,000 to the mid-$90,000s. The drop has erased this year’s gains even as investors are trying to digest stickier US rates and a broader de-rating of risk assets,” said Vikram Subburaj, CEO, Giottus.com.
He added that spot ETFs — the main driver of Bitcoin’s previous rally — have now flipped into a drag, with nearly $2.8 billion in outflows over the past month.
Institutional buyers, meanwhile, are stepping in.
“Bitcoin, along with the broader crypto market, continues to trend lower as retail investors await a catalyst. However, institutional conviction remains strong, with Strategy’s recent purchase of 8,178 Bitcoin worth $835 million helping offset selling from new entrants and ETF-driven pressure. At the same time, on-chain data also shows rising activity from short-term holders, a pattern often seen near market bottoms,” said Edul Patel, CEO of Mudrex.
Bloomberg, citing Deribit data, noted that sentiment has “shifted swiftly and sharply,” increasing expectations of Bitcoin testing $90,000, $85,000, or even $80,000 levels.
“Historically, such phases have led to strong reversals, suggesting that a shift in momentum may be approaching. For now, BTC has taken support at $89,500 and is attempting to stabilize at these levels. Sustained buying at this level could push prices toward the $93,000–$95,000 zone. On the downside, a move towards $85,000 cannot be ruled out,” Patel added.
Crypto remains unregulated in India and is highly volatile.
“The prudent approach is to respect volatility, avoid leverage, and use systematic rupee-cost averaging rather than trying to guess the exact bottom. If your time horizon is measured in halvings, not headlines, this drawdown is a reminder that Bitcoin pays those who can stay solvent and unemotional in a fluctuating market,” said Subburaj.
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