Bitcoin Plunges Below $60,000 at One Point: "AI Ousts Crypto vs. Buying Opportunity at the Bottom"

The price of Bitcoin, the leading cryptocurrency by market capitalization, has plunged below the psychological threshold of $60,000. This marks a drop of more than half compared to its all-time high.

U.S. President Donald Trump and Bitcoin

According to U.S. cryptocurrency exchange Coinbase, as of 12:10 p.m. Eastern Time on the 5th (local time), the price of one Bitcoin stood at $59,757, down about 6% from the same time the previous day. This is the lowest level since November 2024, when U.S. President Donald Trump secured re-election—a major bullish event for the cryptocurrency market. Furthermore, compared to the all-time high of $126,210.5 recorded on October 6, 2025, this represents a sharp decline of 52.7%.

Market experts point to two main factors triggering this crash: the sell-off by "whale" company Strategy, which holds a large quantity of cryptocurrency, and capital outflows from exchange-traded funds (ETFs). In fact, Strategy, considered the company holding the most Bitcoin, announced through a U.S. Securities and Exchange Commission (SEC) filing on the 1st that it had sold 32 Bitcoins. The market immediately interpreted this move as a negative signal. Emma Bernuio, a consultant at Euros Agency, explained in a foreign media interview, "Although the selling volume itself was small, the symbolic shock was significant because Strategy, which was expected to only accumulate regardless of market conditions, turned to selling."

The recent large-scale shift of global capital from cryptocurrencies to artificial intelligence (AI)-related stocks, leading to ETF outflows, has also added downward pressure. Michael Antonelli, a market strategist at Baird, commented, "AI has overtaken cryptocurrencies to become the hottest topic in the investment market."

The slump in the leading cryptocurrency caused a domino effect in altcoins. Ethereum, with the second-largest market cap, tumbled more than 12%, falling below the $1,600 mark, while other major coins such as Ripple and Solana also dropped more than 5% across the board. However, some in the market view this sharp drop as a process of cooling off a short-term overheated market. Consultant Bernuio noted that with the pro-cryptocurrency legislative efforts in the U.S., "this correction could actually present a buying opportunity for long-term investors."

This content was produced with the assistance of AI translation services.