Bitcoin slipped below the $100,000 threshold early Wednesday for the first time since June, extending a weeklong selloff that has erased gains across digital asset markets.
The world's largest cryptocurrency was trading at $99,133 as of press time, down approximately 6% over 24 hours and 11% across the past seven days, according to Coinmarketcap data. The broader crypto market capitalization fell to $3.3 trillion, declining 6.88% in the past day.
Major altcoins experienced steeper losses. Ethereum dropped 10.91% to $3,249.50, while Solana tumbled 9.34% to $152.42 over the same period.
The crypto downturn mirrored weakness in traditional risk assets as equities posted their sharpest decline in nearly a month during Tuesday's trading session. The S&P 500 fell 1.2% while the tech-heavy Nasdaq Composite slid 2%, both marking their largest single-day drops since October 10.
Treasury yields declined as investors rotated away from risk, with the 10-year yield falling to 4.09% and the 2-year note dropping to 3.58%.
Market observers characterized the moves as part of a broader de-risking trend affecting speculative assets. Cryptocurrencies, meme stocks, and artificial intelligence plays were among the hardest-hit sectors, suggesting forced selling across higher-risk positions.
The selloff comes after seven consecutive months of stock market gains – the longest winning streak in eight years – leading some analysts to view the pullback as natural profit-taking rather than a fundamental shift in sentiment. However, disappointing earnings results last week across multiple industries have raised questions about whether valuations had stretched too far.
Technology stocks, which had been buoying broader market performance throughout earnings season, faced particular pressure. Comments from Wall Street executives including Morgan Stanley CEO Ted Pick and Goldman Sachs CEO David Solomon reportedly suggested markets could be overdue for a correction.
The crypto market's decline follows a period of heightened institutional interest, with a raft of companies reporting substantial Bitcoin accumulation and major asset managers launching new digital asset products. Bitcoin had traded above $110,000 as recently as late October before beginning its recent slide.
Whether the current pullback represents a temporary consolidation or signals deeper concerns about elevated valuations across risk assets remains unclear as markets digest a packed earnings calendar and await further economic data.
