Bitcoin falls more than 50% from post‑election peak as market momentum wanes

Bitcoin traded below $60,000 on Friday, the first time it has fallen beneath that level since 2024, representing a decline of roughly 52% from its all‑time high of $126,080 reached in October 2025. The cryptocurrency had surged after President Donald Trump’s reelection in November 2024, climbing to above $75,000 the day after the vote and later exceeding $109,000 in January 2025 as investors anticipated a more crypto‑friendly administration.

The rally was supported by growing assets in Bitcoin exchange‑traded funds, which rose from about $37 billion in January 2025 to over $62 billion at their peak, and by corporate treasury purchases, including a $2 billion acquisition by Trump Media and Technology Group in July 2025. However, a $19 billion liquidation event in October 2025 triggered a sharp correction, sending Bitcoin from above $121,000 to $106,000, and the price continued to drift lower through the end of the year.

In January 2026, Bitcoin ETFs recorded net outflows of more than $1.5 billion, according to market data, while heightened geopolitical tensions and expectations of interest‑rate hikes added further pressure. Michael Saylor, co‑founder of MicroStrategy, disclosed the sale of 32 Bitcoin for about $2.5 million in May, citing a “historical” shift of capital from crypto to artificial‑intelligence assets, which he said was reflected in over $4 billion of ETF outflows in less than a month.

Analysts note that the decline leaves Bitcoin trading well below the level it closed at on election day ($69,355) and raises questions about short‑term price direction and the extent of any lingering influence from the Trump administration on the cryptocurrency market.