The ugly year for crypto seems to have no end in sight.

The insight: The crypto market has now erased more than half of its value in just eight months, according to new research from The Kobeissi Letter. On Oct. 6, 2025, the total market cap of crypto hit a record $4.3 trillion. Now 261 days later, crypto is worth just $2.0 trillion, marking a 54% decline in value. This means crypto markets have erased an average of $8.8 billion per day for 261 days straight, according to the note.

Considering concerns about stretched valuations, rising geopolitical tensions, and a market that’s become increasingly sensitive to interest rate expectations, the pullback in the highly risky crypto space has made sense.