The significant drop in Bitcoin (BTC) prices is something not seen in a while, and it has garnered attention not only within the crypto ecosystem, but at all financial levels.
Economist and analyst Asdrubal Oliveros gave his take on the current crisis, declaring that “the crypto euphoria associated with[Donald]Trump is officially over.”
For experts, it has been erased or Extinguishing the optimism generated by the promise of pro-Bitcoin A documentary chronicling the American President’s election campaign and the first few months of his second term.
Bitcoin fell 12% today to USD 64,130, wiping out all gains accumulated since Donald Trump’s election as president in 2024. Since its October high, Bitcoin has fallen 44%.
Asdrubal Oliveros, Venezuelan economist.
Mr. Oliveros deepens his analysis of the economic downturn and gives clues as to what he believes is going on. for him this is Bear markets are different from previous ones. “It didn’t start because a great actor went bankrupt.”
“The correction began last fall, when investors began liquidating positions to reduce leverage, causing a downward spiral. This week saw widespread sales across all markets, accelerating this movement.
One of Oliveros’ considerations is that beyond stablecoins, there are no “use cases” that have truly consolidated in recent years. And the short-term outlook doesn’t look hopeful either.
“The crypto sector is no stranger to cycles, but this time the attrition is even greater and there is no clear catalyst to reverse the trend,” he said.
Beyond a discussion of Trump and digital asset use cases, Oliveros connects the dots on recent events in the crypto industry. It claims that the coup has expanded due to the following recent events.
« Gemini announces 25% headcount cuts, Strategy (Michael Saylor) reports fourth-quarter net loss of USD 12.4 billion. Coinbase and Circle have fallen by nearly 40% so far this year. Small Cryptocurrencies Plunge: President Trump’s Meme Coin Is Down 95% From Peak,” The Economist noted on his X account.
Oliveros said factors that are exacerbating the market’s difficult situation include the fact that decentralized social networks still lack critical mass and the announcement of figures such as Kyle Samani leaving Multicoin Capital to pursue other technology areas such as AI.
As is usually the case in markets, a pullback is possible, but the outlook is not bright, at least in the short term. In fact, CriptoNoticias reported this Friday that around $2.5 billion worth of traders have been liquidated due to Bitcoin’s decline.
(Tag translation) Bitcoin (BTC)
