Bitcoin plunged below €75,000 on Monday as the broader cryptocurrency market continued its steep decline.
Cryptocurrencies entered another month of losses, with Bitcoin dropping over 5% during early European trading.
After reaching about €110,000 in early October, Bitcoin suffered a prolonged decline triggered by large-scale liquidations and sell-offs.
In November, Bitcoin lost more than 16% of its value, briefly approaching €74,000.
Ethereum and Solana also fell over 5% on Monday, extending the downward trend that started in October.
Bitcoin attempted brief rebounds last month, but the gains vanished, and prices resumed falling.
Investors Avoid Risky Assets
Investors sold other stocks as they shifted toward risk-averse strategies while Bitcoin ETF inflows remained low.
An ETF bundles assets such as stocks, bonds, commodities, or Bitcoin into a single share for investors.
Traders sell ETF shares when underlying assets fall, which pushes the ETF’s overall price lower.
Global market uncertainty and weaker economic signals dragged Bitcoin down as traders offloaded riskier assets.
Fading hopes for early rate cuts from the US Federal Reserve and Bank of England also pressured the market.
Experts link part of the slump to aggressive trading strategies employed by professional investors.
Crypto Mirrors Tech Volatility
Many expected Bitcoin to act like a safe-haven asset similar to digital gold.
Bitcoin’s recent swings reveal that it behaves more like technology-related stocks than a stable store of value.
Nvidia shares surged this year but also experienced sharp dips, reflecting similar market volatility patterns as Bitcoin.
Investors now see cryptocurrency as sensitive to broader tech and financial market movements rather than independent stability.
