Bitcoin Breaks Below $70,000: How Did the 'Vibe' of the Crypto Market Disappear?
Bitcoin has fallen below $70,000, with the total cryptocurrency market losing over $2 trillion in value. While such declines are not unprecedented, this downturn feels different. Unlike 2022, when other asset classes also suffered, crypto investors now feel isolated as traditional tech stocks like the Nasdaq 100 remain near all-time highs.
Key factors driving the slump include excessive leverage—detectable crypto borrowing had more than doubled to $74 billion by September—and a cascade of liquidations totaling around $19 billion since early October. Even Bitcoin ETFs, once seen as a bullish catalyst, are now contributing to selling pressure, with notable outflows for the first time.
Most critically, the "vibe" or cultural momentum that once fueled crypto's appeal has faded. Cryptocurrencies have lost their counter-cultural edge as they became more institutionalized—yet without gaining full acceptance from traditional finance. Central banks are buying gold, not crypto, and professional investors continue to largely avoid the asset class. Without a revival of this unique enthusiasm, the current crypto winter may be long and harsh.
比推02/12 13:18
