$BTC Nearly $500 billion has vanished from the cryptocurrency market in under a week as a sharp selloff, driven mainly by Bitcoin, gathered momentum. Since January 29, the total value of the crypto market has fallen by approximately $467.6 billion, according to industry data.

Bitcoin has dropped nearly 40% from its all-time high reached in early October, raising fresh questions about its long-claimed role as “digital gold.” During a period marked by rising geopolitical tensions, the asset has failed to behave like a safe haven, weakening confidence in that narrative.

The downturn came amid a turbulent week across global financial markets. Prices of gold and silver also experienced sharp fluctuations, while both Bitcoin and US equities declined as escalating tensions between the United States and Iran pushed investors toward more traditional defensive assets.

Market data from CoinGecko shows that the total crypto market capitalization has continued to slide, with Bitcoin falling on Tuesday to its lowest level since Donald Trump secured re-election in early November 2024, an event that had initially boosted optimism for a more crypto-friendly regulatory environment.

Bitcoin briefly touched a 15-month low of $72,877 in US trading before recovering modestly. By Wednesday morning, it was trading near $74,800 in New York.

Despite growing institutional interest and supportive signals from the White House, Bitcoin’s price remains far below its recent peak. The market is still reeling from a wave of forced liquidations on October 10, when roughly $19 billion in leveraged crypto positions were wiped out — an event from which the broader market has struggled to fully recover.

Commenting on the trend, Alex Kuptsikevich, Chief Market Analyst at FxPro, noted that while prices have seen a slight rebound, the broader pattern remains weak. He explained that a series of lower highs and lower lows suggests sellers continue to dominate whenever prices attempt to rise.#BTC