Bitcoin plunges below $66,000 as global stocks hit fresh records
In brief
- Bitcoin plunged 6.4% to $65,708, down 12.3% on the week
- Ether fell 7.9% to $1,839, marking an 11.1% weekly decline
- MSCI All Country World Index and semiconductor stocks hit all-time highs on AI rally
- Mt. Gox transferred $739 million to new wallet; spot Bitcoin ETF outflows crossed $3.2 billion
- Hyperliquid's HYPE remained sole gainer in top 10 by market value
Crypto carnage amid equity strength
Bitcoin declined 12.3% on the week, while Ether's weekly decline reached 11.1%. The divergence between crypto and equities has widened sharply. S&P 500 and Nasdaq 100 futures held little changed near record levels, underscoring the appetite for risk in traditional markets even as digital assets hemorrhaged value.
The sell-off rippled across the broader crypto market. Solana's SOL fell 9.0% to $73.25, BNB lost 7.8% to $636, and Dogecoin slid 8.3% to $0.0921. Tron's TRX shed 3.4% to $0.3297. Only one asset in the top 10 by market value escaped red: Hyperliquid's HYPE held a 19.9% weekly gain at $71.98 despite a 3.1% decline in the past 24 hours.
Macro headwinds and leverage unwind
Tokyo Electron and Taiwan Semiconductor Manufacturing both reached new peaks as the AI rally powered ahead. SpaceX was reported to be seeking $135 a share for a $75 billion initial public offering, signaling continued capital inflows into high-growth tech. Meanwhile, U.S.-Iran ceasefire negotiations have stalled amid fresh Middle East fighting, and Brent crude has risen for a third straight day on fresh Middle East fighting.
Selling pressure came from multiple directions. MicroStrategy publicized a bitcoin sale on Monday, and an ongoing record spot bitcoin ETF outflow streak through Tuesday crossed $3.2 billion. Mt. Gox transferred $739 million to a new wallet on Tuesday, stoking fresh concerns about potential liquidation. Bitcoin traded near $66,280 by Wednesday morning after touching the $65,708 24-hour low, with the range stretching $5,200 from the $70,907 high.
Technical levels on watch
Bitcoin's $65,000 level is the immediate technical anchor. A break below brings $60,000 into focus for Bitcoin, while a hold opens the door to a relief bounce as overleveraged positioning gets flushed. The divergence between crypto weakness and equity strength reflects a broader rotation in risk appetite—traditional growth assets are capturing capital while digital assets face structural headwinds from institutional selling and geopolitical uncertainty.
