Bitcoin is back at the $60,000 mark.

Bitcoin has returned to a key support level at $60,000, retesting the October 2024 low. Major cryptocurrencies also saw sharp declines: Ether fell to $1,751 before partially recovering to $1,927. Solana lost 11.1%, BNB dropped 8.6%, and Bitcoin Cash plummeted 10.6%.

Since reaching the October peak of $4.3 trillion, the cryptocurrency market capitalization has fallen by nearly $2 trillion, with more than half of the losses occurring in the past month.

Analysts attribute the recent correction to the sell-off in stocks and precious metals, which has increased volatility across financial markets. Joshua Chu from the Hong Kong Web3 Association noted that the current situation is a test for investors who previously relied solely on Bitcoin and “safe-haven assets.”

Michael Burry, founder of Scion Capital, warned that the continued decline of Bitcoin could create a “death spiral” for both the cryptocurrency and precious metals markets.

The return to $60,000 is not the end of the crypto market but rather a signal of the importance of risk management and balanced investment strategies.