Bitcoin just suffered one of its sharpest selloffs in months.

After spending much of the past year trading comfortably above six figures and reaching a peak above $126,000 in October (1), the world’s largest cryptocurrency appeared to have settled into a period of relative stability. That changed abruptly last week, when a wave of risk-off sentiment and broader market turmoil sent bitcoin tumbling below $60,000 (2) — its lowest level since October 2024.

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By the end of the week, bitcoin had lost roughly 17% of its value and was trading more than 50% below its all-time high.

While stocks tied to artificial intelligence and semiconductors have continued to soar, some analysts believe speculative money that…