Bitcoin hits over 3-month low, reversing gains post Trump election
A week-long rout in Bitcoin worsened Friday, with the digital asset hitting an over 3-month low, reversing gains that followed the election of the U.S. President Donald Trump.
Bitcoin was trading at about $78,782 in trading in Asia, down 5.5% on the day and about 25% lower than an all-time high from mid December.
Bitcoin had enjoyed a surge in prices following Trump's victory in November, with the leader having posed himself as a pro-crypto candidate during his campaign.
However, prices have slipped as investors shun assets perceived to be risky given the weakness in global equity markets and amid uncertainty surrounding the new President's tariff policy and resolutions to the Russia-Ukraine and Israel-Gaza wars.
Investor sentiment was also soured by news that Bybit, a major cryptocurrency exchange, suffered a $1.5 billion hack in what's estimated to be the largest crypto heist in history.
"It seems that the market has become volatile in reaction to the Bybit incident," Jeff Mei, chief operating officer at crypto exchange BTSE said in a statement sent to CNBC, adding that inflation concerns and expectations of fewer rate cuts by the U.S. Federal Reserve have also suppressed markets.