Bitcoin Falls Below $70,000 for First Time Since Trump's November 2024 Election Win

Bitcoin, the world’s largest cryptocurrency by market capitalisation, extended its recent price decline on Thursday, falling below $70,000 for the first time since Donald Trump won the United States presidential election in November 2024.

The digital currency dropped to an intraday low of $69,821.18 during trading hours before recovering marginally to trade above the $70,000 mark, according to market data tracked by major cryptocurrency exchanges.

The latest slump marks a significant retreat from the record high of over $126,000 that Bitcoin reached in October 2024, representing a decline of more than 44 percent from its peak. The cryptocurrency has faced mounting pressure in recent weeks as investors have retreated from riskier assets amid escalating geopolitical tensions and growing uncertainty over the regulatory framework governing digital assets in the United States.

“Bitcoin continues to suffer… caught up in the broader risk-off mood and geopolitical turmoil that has pushed investors away from riskier assets towards safe havens,” said Victoria Scholar, head of investment at Interactive Investor, a London-based investment platform.

Bitcoin had initially surged following Trump’s election victory in November 2024, with investors anticipating a more favourable regulatory environment for cryptocurrencies under his administration. Trump, who has publicly embraced digital assets and launched his own cryptocurrency ventures, was widely viewed during his campaign as a strong supporter of the crypto sector, a sharp departure from his earlier scepticism during his first term in office.

The president publicly celebrated Bitcoin crossing the $100,000 threshold for the first time in December 2024, a milestone that was seen as validation of the cryptocurrency’s growing mainstream acceptance. However, the euphoria proved short-lived.

Bitcoin suffered a sharp setback in April 2025, falling below $75,000 after Trump announced sweeping tariffs on imports from major trading partners including China, Mexico, and the European Union. The tariff announcement rattled global financial markets and triggered a sell-off in equities and other risk assets, dragging cryptocurrencies down with them.

Despite the April downturn, Bitcoin rallied again and reached an all-time high of $126,251.31 six months later in October 2025, fuelled by renewed optimism about institutional adoption and expectations that Congress would pass comprehensive legislation to regulate the sector.

However, the cryptocurrency has since retreated sharply, with the latest decline driven largely by regulatory uncertainty and shifting investor sentiment.

While the United States Congress passed legislation in July 2025 to regulate stablecoins—a category of cryptocurrencies backed by traditional assets such as the US dollar or government bonds—a broader crypto bill known as the Clarity Act has stalled in the Senate. The Clarity Act, which seeks to establish a comprehensive regulatory framework for digital assets, has faced opposition from lawmakers concerned about consumer protection, financial stability, and the potential use of cryptocurrencies for illicit activities.

The stalling of the legislation has left the crypto industry in limbo, with exchanges, investors, and companies uncertain about the rules governing their operations. The lack of regulatory clarity has also made institutional investors more cautious, contributing to the recent sell-off.

Another factor weighing on Bitcoin is Trump’s recent nomination of Kevin Warsh, a former Federal Reserve governor, to head the US central bank. Warsh, who served on the Fed’s Board of Governors from 2006 to 2011, is widely regarded by market observers as a defender of the Federal Reserve’s independence and a proponent of prudent monetary policy.

His nomination reassured traditional financial markets, which have been concerned about potential political interference in the central bank’s decision-making. However, the positive reception in equity and bond markets prompted investors to sell safe-haven assets such as gold and silver, whose prices plunged following the announcement.

Many investors also rushed to sell cryptocurrencies and other risky assets to raise cash, exacerbating the downward pressure on Bitcoin. The simultaneous sell-off in both safe-haven assets and speculative investments reflects the complex dynamics at play in global markets, where shifting expectations about monetary policy, inflation, and geopolitical risks are driving rapid changes in asset allocation.

Trump’s close ties to the cryptocurrency sector have sparked accusations of conflicts of interest, as he has actively promoted his own cryptocurrency-related ventures since returning to office in January 2025. According to recent estimates by Bloomberg, the Trump family’s fortune grew by $1.4 billion in 2024 from digital assets alone, raising questions about whether the president’s policy decisions are influenced by his personal financial interests.

Just hours before his inauguration on January 20, 2025, the 79-year-old billionaire launched his own cryptocurrency, dubbed $TRUMP, which experienced a blockbuster debut before slumping sharply in subsequent trading. The launch drew criticism from ethics watchdogs and opposition lawmakers, who argued that a sitting president should not be involved in commercial ventures, particularly in a sector that his administration is tasked with regulating.

Trump has defended his involvement in the crypto industry, arguing that it represents innovation and economic opportunity for Americans. However, critics contend that his financial entanglements create a clear conflict of interest and undermine public trust in government decision-making.

Bitcoin’s volatility is not new. Since its creation in 2009 by the pseudonymous figure Satoshi Nakamoto, the cryptocurrency has experienced numerous boom-and-bust cycles, driven by factors ranging from regulatory crackdowns and technological developments to macroeconomic trends and speculative trading.

In 2017, Bitcoin surged to nearly $20,000 before crashing to around $3,000 the following year. It recovered and reached a then-record high of nearly $69,000 in November 2021, only to fall back below $16,000 in late 2022 following the collapse of major crypto exchange FTX and a broader downturn in the sector.

The latest cycle, which saw Bitcoin reach new heights in 2024 and 2025, was driven in part by the approval of spot Bitcoin exchange-traded funds in the United States, which allowed mainstream investors to gain exposure to the cryptocurrency without directly holding it. However, the recent sell-off suggests that investor enthusiasm may be waning amid regulatory and macroeconomic headwinds.

As global markets remain volatile and regulatory uncertainty persists, the outlook for Bitcoin and the broader cryptocurrency market remains highly uncertain.