"Volatility is expected in crypto, but these wild swings have not been seen since late 2022, when the FTX empire of notorious crypto conman Sam Bankman-Fried blew up. On Thursday evening, Bitcoin briefly dipped below $60,000, which represented a roughly 52% drop since its all-time high of $126,000 in October. By early afternoon on Friday, though, the original cryptocurrency surged up about 17% to its current price of roughly $70,000, according to Binance."
"The 24-hour rollercoaster ride for Bitcoin mirrors the behavior of the broader stock market amid resurfacing fears of an AI bubble. Stocks for major tech companies, especially software-based companies, dipped on Thursday after Anthropic released an AI plugin that could threaten some major firms' business models. "[Bitcoin's dip] did not happen in isolation and came alongside weakness in tech and other assets, pointing to a broader cross-asset deleveraging rather than a single crypto-specific trigger," said Jasper De Maere, desk strategist at Wintermute."
Bitcoin experienced extreme intraday volatility, briefly dipping below $60,000—a roughly 52% decline from its October all-time high of $126,000—before surging about 17% to roughly $70,000 by Friday afternoon. The price swings paralleled declines in major tech stocks amid renewed fears of an AI bubble after Anthropic released an AI plugin that could threaten some firms' business models. Market strategists attributed the moves to broader cross-asset deleveraging rather than a crypto-specific trigger. Tech names such as Nvidia and Microsoft recovered Friday as markets stabilized. Crypto losses accumulated over four months erased October gains tied to favorable political developments. Strategy announced a $12.4 billion net loss in the most recent quarter, while Michael Saylor expressed confidence in a rebound.
Read at Fortune
Unable to calculate read time
Collection
[
|
...
]