Crypto Markets Slide as Bitcoin Tests Key Support Amid Global Selloff

Crypto markets sharply underperformed traditional assets on Thursday, extending losses even as equities and gold staged partial recoveries. What began as modest overnight declines accelerated into a major selloff during U.S. trading hours, highlighting ongoing weakness across digital assets. Bitcoin fell nearly 6% over the past 24 hours and was trading just above $84,000 at press time, hovering dangerously close to the lower end of its two-month trading range. A breakdown below this level could signal a deeper correction for the world’s largest cryptocurrency.

The broader market backdrop was turbulent. The Nasdaq dropped more than 2% earlier in the session before recovering to close down just 0.7%, while gold plunged almost 10% from a fresh overnight record before rebounding above the $5,400 per ounce mark. Unlike stocks and precious metals, however, crypto prices failed to mount a meaningful bounce and remained near session lows throughout the afternoon.

Major altcoins followed bitcoin lower. Ethereum, Solana, XRP, and Dogecoin were all down roughly 7% over the same 24-hour period, reflecting widespread risk aversion in the crypto market. Crypto-related equities also struggled, with Coinbase, Circle, and bitcoin treasury firm Strategy posting losses ranging from 5% to 10%.

Analysts remain divided on what comes next for bitcoin. Matt Mena, crypto research strategist at 21Shares, said holding above the $84,000 support level is critical. If that level breaks, he sees $80,000 as the next key area of demand, followed by potential support near $75,000, a level tested during the April 2025 tariff-driven selloff. Despite near-term weakness, Mena believes current prices represent a compelling entry point and maintains a bullish outlook, projecting bitcoin could reach $100,000 by the end of the first quarter and potentially climb to $128,000 if macroeconomic conditions improve.

Other market watchers are more cautious. John Glover, CIO at Ledn, views the selloff as part of a broader correction from October’s record highs and warned bitcoin could slide toward $71,000. He noted that investors are currently favoring traditional safe havens such as gold and the Swiss franc, while bitcoin continues to trade like a risk asset alongside equities. Russell Thompson of Hilbert Group echoed the bearish sentiment, suggesting technical support has weakened and a drop toward $70,000 remains possible, even as longer-term fundamentals stay constructive.