Once again, Bitcoin (BTC) price is approaching $65,000. Concerns have been reignited that digital currency prices will fall sharply this fall.
Recall that last week, more precisely on Thursday, February 5, Bitcoin reached 60,000 USD on some exchanges.
The following graph provided by TradingView shows Bitcoin’s movement since January 1st of this year.
This Bitcoin decline is not an isolated event from the traditional financial system.. The move comes in response to growing risk aversion on Wall Street amid uncertainty over the actual impact that artificial intelligence (AI) will have on Big Tech companies’ productivity and profits.
According to a report by Bloomberg, market sentiment has been influenced by negative outlooks for giants such as technology company Cisco Systems. The drop in tech sector stocks is also having a knock-on effect on digital currencies, which continue to correlate closely with the Nasdaq 100 index.
The following graph provided by the Longt Term Trends website: The correlation between Bitcoin and Nasdaq tends to increase over time.
The prevailing theory among experts consulted by Bloomberg is so-called “fear of software.” There is Potential fears that AI is “destroying” the reputation of traditional industries And they started a software company threatening to replace them. This confusion caused Some of the instability transferred to Bitcoin Although it acts as an alternative financial protocol, it is sensitive to global market movements.
This scenario adds important macroeconomic factors. While Treasuries briefly served as a haven, markets continue to focus on U.S. inflation statistics. And as for interest rates… will there be rate cuts in the coming months? That is still an unanswered question.
Beyond AI and macroeconomics, Bitcoin’s decline also seasonal bear market period. As CriptoNoticias explained in a previous publication, historical patterns predict that 2026 will be a bearish year.
An editorial published by the information portal on February 8 reads:
Over the past few months, many have declared that Bitcoin’s four-year cycle is over and institutionalists are its enforcers. However, reality has shown that the entry of new actors does not change the rhythm of Bitcoin. Now, they will also experience the first Bitcoin bear market that affected all mortals.
CriptoNoticias, a newspaper dedicated to Bitcoin and cryptocurrencies.
All of these Deep-rooted concerns about “quantum risk”Although this narrative is technical and perhaps long-term, it often resurfaces during periods of price weakness, calling into question the safety of the asset.
For now, Digital currency struggles to maintain $65,000 level. Once this support is lost, carriers are cautiously watching the $60,000 level reached on February 5th, but we will see a deeper correction trend in the near term while the market digests the structural changes in the tech economy.