The last 24 hours have been turbulent for Bitcoin. Although its price recovered in January, its two-week gains have been wiped out by slight but consistent price declines.
In the early hours of February 4, Bitcoin even fell to $72,900. This is Bitcoin's lowest value since November 2024, when Donald Trump was elected president of the United States. At the time of writing, CoinDesk records that Bitcoin is trading at $76,300.
The impact of the price decline is not only felt by Bitcoin investors. Investopedia notes that crypto-related stocks have also experienced fluctuations, such as Coinbase (COIN), Strategy (MSTR), Circle (CRCL), and Gemini (GEMI). Each of these stocks has recorded a decrease of at least 15% in the last five days.
Meanwhile, short-term Bitcoin price predictions do not seem optimistic. Event contract investors on Polymarket estimate a 48% chance that Bitcoin will dip to $70,000 or even lower.
Other event contracts on Kalshi also indicate a pessimistic market sentiment. Investors are betting that Bitcoin's value will be lower than it is now by the end of February.
When market conditions are sluggish, the first thing investors should remember is not to panic or act rashly. Learn strategies for dealing with poor market conditions in the article What is Bear Market: Definition, Characteristics, and Strategies to Face It in the Crypto World.
