Bitcoin is grappling to regain momentum following a significant market downturn that saw over $600 billion in digital-asset value wiped out. The cryptocurrency’s price has fallen to $106,322, marking a 4% decline from its previous close. This downturn has led to increased skepticism about Bitcoin’s role as a “safe-haven” asset.
The recent sell-off was triggered by escalating U.S.-China trade tensions, which led to a 100% tariff on Chinese imports announced by President Trump. This unexpected move sparked panic selling across global markets, including cryptocurrencies. Bitcoin’s price dropped as much as 6.3% in the week leading up to October 12, the most significant decline since early March.
Despite efforts by major cryptocurrency platforms like Kraken, Circle, BitGo, and Ripple to deepen their involvement in regulated finance, the market has struggled to stage a lasting recovery. Analysts suggest that the crash has purged excess leverage from the market, but Bitcoin faces challenges in reclaiming its previous highs.
As of now, Bitcoin’s price remains below its all-time high of $126,251 reached on October 6, 2025. The market’s cautious sentiment persists, with investors seeking stability amid ongoing geopolitical uncertainties.
