Bitcoin suffered its longest losing streak since August, falling for a fifth consecutive day on Thursday to as low as $61,322 before trading near $63,500.
The selloff has wiped out more than $160 billion in its market capitalization since Monday.
The cryptocurrency approached a four-month low and is close to the early February market bottom of around $60,000.
Since peaking above $126,000 in October, Bitcoin has shed roughly half of its market value.
The tumble started on Monday when Strategy, the world’s largest corporate bitcoin holder, broke its “never sell” mantra and disclosed it had offloaded 32 of its nearly 843,000-plus coins.
But bitcoin’s troubles stem largely from other factors
The crypto industry was facing headwinds due to the Iran war, the AI stock rally, and the slow progress of a landmark crypto-friendly bill.
Additionally, Bitcoin ETFs have seen roughly $4.4 billion in withdrawals since mid-May, marking a record run of investor outflows.
Analysts note capital is shifting toward AI trades, short-dated options, and prediction markets.
Furthermore, speculation suggests that some retail investors are aggressively selling bitcoin to raise cash ahead of the upcoming high-profile IPOs of SpaceX, Anthropic, and possibly OpenAI.