Bitcoin Price: Bitcoin, the world’s most popular cryptocurrency, slipped to its lowest level since Donald Trump returned to the White House. The largest cryptocurrency extended its almost four-month slide as it fell as much as 7 per cent to USD 72,877 on Tuesday — its lowest since November 6, 2024.
However, Bitcoin recovered part of its losses after US lawmakers approved a funding package that reduced the risk of a near-term government shutdown. It was trading around USD 76,386 on Wednesday morning, according to CoinMarketCap data.
Over the past 24 hours, Bitcoin has declined 2.6 per cent, while trading volumes jumped more than 7 per cent or about USD 67.5 billion, indicating heightened market activity.
Bitcoin’s total market capitalisation stood at approximately USD 1.52 trillion.
Bitcoin Down 40% From Record High
Despite a pro-crypto stance from the White House and rising institutional adoption, Bitcoin has crashed nearly 40 per cent from its record highs of USD 1,26,000 touched in early October 2025.
Other major cryptocurrencies also traded lower, with Ethereum hovering near USD 2,280, XRP around USD 1.59 and BNB around USD 762 during the same time.
Trump’s Fed Pick
Recently, US president Donald Trump announced that Kevin Warsh will be nominated to Federal Reserve’s Chairman post after Jerome Powell’s term ends later this year, in May. Markets view Kevin Warsh as hawkish, adding to concerns about tighter financial conditions and liquidity.
Sumit Gupta Co-founder Coindcx, said that macro and regulatory developments including the end of the US government shutdown, ongoing discussions around crypto market structure and global institutional actions continue to influence market sentiment.
“Despite near-term volatility and recalibrated expectations around assets such as Solana, long-term developments like tokenised real-world assets and expanding global crypto participation indicate continued structural evolution of the ecosystem,” he said.
Liquidation-Driven Selling
According to CoinSwitch Markets Desk, said that the funding package approved by the House and signed into law by President Donald Trump to end the current shutdown, has helped stabilize broader risk sentiment. The development arrested a sharp liquidation-driven sell-off that briefly pushed Bitcoin to USD 72.8K, marking its weakest level since pre-November 2024 election highs.
From a technical perspective, USD 73K continues to act as key downside support, while a sustained reclaim of the USD 77.5K to USD 78K resistance zone is required to meaningfully improve the short-term trend and restore bullish momentum, he said.
Currency Movements, Interest Rate
Recent global macro developments show that liquidity is still driving short-term moves in crypto markets. With tighter monetary conditions in some regions, investors remain cautious, keeping crypto closely linked to broader risk assets rather than crypto-specific news.
Nischal Shetty, Founder, WazirX, said that currency movements and interest rate differentials are influencing crypto market behaviour and overall sentiment. “Even small macro changes are translating into sharper price reactions due to relatively thin liquidity. Derivatives activity has played a key role in amplifying these moves, with positioning and liquidations driving volatility more than spot demand,” he said.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
