The sharpest decline since 2022.

Bitcoin price today

The world's largest cryptocurrency fell by as much as 7%, to $78,273, its lowest level since November 10th and marking its fifth consecutive day of decline.

Over the past week, Bitcoin has lost 16% of its value, marking its sharpest weekly decline since the FTX exchange crash in November 2022.

Bitcoin has hit its lowest level since November and is on track to record its biggest weekly decline in over two years. This sell-off comes amid a plunge in tech stocks, coupled with a $1.5 billion hack and doubts about US cryptocurrency policy, which have left industry sentiment fragile.

Not only Bitcoin, but the entire cryptocurrency market has plummeted. According to data from Coingecko, the market lost nearly $500 billion in just one week.

Why did the price of Bitcoin drop sharply?

According to City Index analyst Matt Simpson, there are three main reasons:

Inflationary pressures and weakening economic growth are causing concern among investors, who fear that the US economy is losing its "specialness" and that former President Donald Trump's tariff policies could drive inflation even higher.

The technology stock market is also under significant pressure. The Nasdaq index (which includes many large technology companies) is at its lowest level since November. As investors worry about economic growth, they tend to sell off both technology stocks and Bitcoin.

Bybit – the world's second-largest cryptocurrency exchange – has just been hacked, with approximately $1.5 billion worth of Ethereum stolen. This could be the largest cryptocurrency theft ever, shaking investor confidence.

Changes in Trump's policies also affect Bitcoin.

Previously, when Trump first took office, the market expected his administration to be more favorable to Bitcoin and cryptocurrencies. This helped Bitcoin's price approach $110,000 in mid-January.

However, to date, there have been no specific policies to support cryptocurrencies. According to Joshua Chu, co-chairman of the Web3 Hong Kong Association, the current drop in Bitcoin's price shows that 'the positive effect of a crypto-friendly government has worn off.' He also emphasized that Bitcoin remains a high-risk asset, not 'digital gold' or an 'inflation hedge' as many people had hoped.

Ether, the second-largest cryptocurrency by market capitalization, also fell 6% to $2,149.38, its lowest level since January 2024. The TRUMP memecoin, issued by Trump upon his inauguration, lost 50% of its value, while his wife's MELANIA lost as much as 90%.

Money is flowing out of the market.

Investors are also withdrawing money from Bitcoin ETFs (investment funds that trade Bitcoin on stock exchanges). This week, Bitcoin ETFs in the US have seen a total outflow of $2.27 billion.

Bank of America experts believe that Bitcoin's inability to surpass $97,000 since November is the first sign that the cryptocurrency bubble may be deflating.

In recent times, the crypto market boom has been largely driven by "crypto bros"—a term referring to young investors, mostly male, who have a strong belief in cryptocurrencies and often promote them aggressively on social media. However, that euphoric sentiment seems to be cooling down.

Reuben Conceicao, Chief Strategy Officer at digital wallet company Metasig, said: "This is a combination of macroeconomic factors. Rising tariffs, geopolitical instability and war, along with the Bybit hack, have further eroded confidence."

The price drop also affected cryptocurrency-related stocks in pre-market trading in the US. Shares of exchange Coinbase and Bitcoin buyer MicroStrategy both fell 2.3%, while mining companies Riot Platforms and MARA Holdings dropped around 3.5%.

Source: https://baoquangnam.vn/gia-bitcoin-hom-nay-1-3-2025-giam-manh-nhat-ke-tu-cu-sap-cua-ftx-nam-2022-3149714.html