Bitcoin tumbled to a low of $80,226, sparking a broad sell-off across the crypto market. Leading altcoins also suffered significant losses, with investor sentiment hitting a multiyear low. The downturn has been fueled by macroeconomic concerns, including the potential imposition of tariffs by former President Trump, which has weighed heavily on risk assets.

Crypto Stocks Suffer Pre-Market Losses

The slump extended beyond digital assets, dragging down crypto-adjacent equities in pre-market trading.

• MicroStrategy (MSTR) and Coinbase (COIN) dropped over 5%.
• Leading bitcoin miners, including MARA Holdings (MARA), Riot Platforms (RIOT), Core Scientific (CORZ), and CleanSpark (CLSK), saw declines of at least 2.5%.
• Coinbase slipped below $205, adding to its woes after failing to secure a spot in the S&P 500.

Investor Sentiment Turns Bearish

The ongoing market weakness has pushed the Crypto Fear and Greed Index to 17, signaling “extreme fear”—its lowest level in years. This suggests that traders remain cautious, with many fearing further downside.

Outlook: Can Bitcoin Rebound?

While some analysts believe this correction is temporary, others warn that further declines could be on the horizon. Bitcoin’s ability to reclaim key support levels will be crucial in determining whether this dip is a buying opportunity or the start of a prolonged downtrend.