Bitcoin plunges below US$80,000 as the crypto slide accelerates
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A deepening drawdown has erased more than 30 per cent from Bitcoin, the world’s largest cryptocurrency.
PHOTO: REUTERS
- Bitcoin fell sharply on Jan 31, dropping below US$80,000 amid thin liquidity, marking a 7.1% decrease to US$78,159.41.
- The crypto market lost US$111 billion in 24 hours, with Ether and Solana declining by more than 10% and 11% respectively.
- Bitcoin has failed to react positively to typical market drivers like a weakening dollar, gold rallies, and geopolitical risks, raising concerns about its portfolio role.
AI generated
NEW YORK – Bitcoin fell sharply in early Jan 31 afternoon trading in New York, tumbling below US$80,000 mark to hit levels last seen in April 2025.
The decline came amid thin liquidity and limited buying interest, deepening a drawdown that has erased more than 30 per cent from the world’s largest cryptocurrency.
Bitcoin fell as much as 7.1 per cent to US$78,159.41 at midday during New York trading hours on Jan 31, while other tokens posted steeper losses.
Ether, the second-largest digital asset, shed more than 10 per ceny, while Solana fell over 11 per cent.
The selloff knocked about US$111 billion off the crypto market’s total value in the past 24 hours, according to CoinGecko data.
The retreat adds to weeks of macro disappointment for Bitcoin, which has failed to respond to a series of market developments that previously would have supported the asset. The dollar weakened for much of January, but the move did little to lift sentiment in crypto markets.
Likewise, Bitcoin offered no meaningful response during gold’s rally to record highs – nor has it attracted inflows in the wake of gold and silver’s sharp reversal on Jan 30.
That absence of bid has raised fresh questions over Bitcoin’s role in broader portfolios. Once pitched as both a momentum play and a hedge against monetary debasement, the token is now struggling to serve either function.
Spot ETF outflows have persisted, geopolitical risks have not triggered demand, and traditional safe-haven flows remain concentrated in metals and cash. BLOOMBERG
