Bitcoin slides 10% to $60,000, erasing nearly all gains since US election

Bitcoin fell sharply on Thursday, sliding close to 10 per cent to around $60,000, as a combination of weak global cues and market-specific factors triggered a broad sell-off in the cryptocurrency. The drop has pushed prices back to levels last seen before the US presidential election, effectively undoing most of the post-election rally.

Data compiled by Zee Business Research shows that Bitcoin was trading at $60,751 on October 3, 2024, prior to the election-related surge in risk assets. Prices climbed sharply after Donald Trump won the US presidential election on November 6, 2024, rising to $75,586 as investors took a more optimistic view on the outlook for digital assets.

Rally peaks, then momentum fades

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The upward momentum continued well into 2025. Supported by institutional participation and inflows through exchange-traded funds, Bitcoin went on to hit an all-time high of $116,307 on October 28, 2025.

However, the rally began to lose steam soon after. By November 1, 2025, prices had slipped to $110,103, signalling the start of a broader correction. Thursday’s decline, which took Bitcoin down to about $60,187, marked the sharpest leg of that fall and brought the cryptocurrency almost full circle to its pre-election levels.

Weak US labour data weighs on sentiment

Market participants attributed the latest sell-off partly to weaker-than-expected US labour market data, which dampened appetite for risk assets globally. The softer jobs numbers raised concerns about slowing economic momentum and led investors to cut exposure to more volatile segments of the market.

Cryptocurrencies, which tend to see outsized moves during periods of risk aversion, bore the brunt of the selling as sentiment turned cautious.

Institutional pullback adds pressure

Another key factor behind the decline was continued outflows from Bitcoin exchange-traded funds. Data indicated sustained selling by institutional investors, reducing the support that had underpinned prices during much of the earlier rally.

Traders said the absence of fresh institutional inflows left the market vulnerable, particularly once prices started slipping below key levels.

Leverage unwinds deepen the fall

The decline was further amplified by leverage-driven selling. As Bitcoin moved lower, forced liquidations were triggered across trading platforms, prompting leveraged traders to exit positions. This accelerated the fall and added to intraday volatility.

Broader risk aversion spills over

Beyond crypto-specific developments, growing caution around heavy capital spending in the artificial intelligence sector also weighed on sentiment. Concerns over large upfront investments and uncertainty around returns have led investors to reassess exposure to speculative assets, including cryptocurrencies.

Fear returns to crypto markets

The shift in mood was reflected in sentiment indicators, with the Bitcoin Fear and Greed Index falling to 11 on Thursday, a level that points to extreme fear, according to Zee Business Research.

With Bitcoin now trading near levels seen before the election-driven rally, analysts said near-term direction will hinge on macroeconomic cues, institutional flows and overall risk appetite. The latest move underscores the continued volatility in the cryptocurrency market, even as it attracts growing mainstream participation.