Bitcoin Drops More Than 5% to Near $76,000 as Tech Selloff Spreads

Bitcoin (BTC) fell more than 5% Thursday morning, dropping from above $80,800 to near $76,000 as a technology-stock selloff spread into crypto markets and forced leveraged traders to unwind positions.

BTC briefly touched about $76,100 shortly after U.S. stock trading opened, its weakest level since the start of the week. It had risen above $80,500 overnight, extending a rebound over $80,000.

Chip and artificial intelligence shares led declines in the Nasdaq selloff; the Nasdaq Composite fell as much as 3.9% and the S&P 500 dropped about 2% Thursday. Bitcoin broke below $77,000 as the reversal gathered pace.

Leveraged crypto positions were liquidated during the drop, adding forced selling to market losses. Ether (ETH) also fell below $2,300, extending the decline beyond Bitcoin.

U.S. spot Bitcoin ETFs attracted a net $74.6 million Wednesday, ending three consecutive days of outflows. Bitcoin had held near $80,000 through Wednesday before its overnight rebound. That rebound was erased in about two hours after the U.S. market opened.