Bitcoin Slides Below $84,500 as Investors Pull Back From Risk

Bitcoin fell below $85,000 for the first time in nearly two months, dropping as much as 5.7% to $84,233. Its market capitalization now stands around $1.69 trillion, with daily trading volumes near $49 billion, marking its lowest price since early December. Other major cryptocurrencies also faced sharp losses, with Ethereum, Dogecoin, Cardano, and Solana all declining 6% or more, reflecting a broad pullback across the digital asset market.


The move comes as investors reduce exposure to risk assets amid growing uncertainty and defensive sentiment across global markets. The sell-off highlights that the recent momentum in cryptocurrencies is facing headwinds, driven more by shifts in market psychology than by any coin-specific developments.


Despite the retreat, Bitcoin remains well above levels seen at the start of the year, demonstrating the ongoing volatility that characterizes the crypto space. Rapid price swings continue to reflect investor sensitivity to macroeconomic signals and overall risk appetite.


For now, the latest drop signals a cautious market stance, with traders prioritizing safety over speculative gains. Until sentiment improves and risk appetite returns, cryptocurrencies may continue to experience pressure, with broader market trends outweighing individual asset factors.