Bitcoin is undergoing a substantial correction hitting a 16-month low and eyeing the $60,000 support on Friday. This marks a staggering 50% decline from all-time high, as a global selloff in technology stocks deepened and washed out risky bets across asset classes.

The world’s largest cryptocurrency finished up 1.64% at $64,153.24 in erratic trading, swinging between gains and losses after hitting a low of $60,008.52 earlier today.

The head of research at brokerage Pepperstone in Melbourne, Chris Weston said, “Bitcoin’s been going down since October (2025), maybe you could ask if it was the canary in the coalmine or a coincidence.”

The global crypto market has lost some $2 trillion in value hitting a peak of $4.379 trillion in early October, with more than $1 trillion obliterated over the past month. Meanwhile, Bitcoin was on track to lose 16% for the week, bringing its losses for the year so far to 27%. It has been observed that Bitcoin’s fortune has been linked to the broader tech sector for some time.

According to Joshua Chu, co-chair of the Hong Kong Web3 Association, Bitcoin drifting back toward $60,000 necessarily means the bill is coming due for Treasuries and funds that treated bitcoin as a one-way bet without real risk controls. We have also seen sharp corrections in self-proclaimed safe-heaven assets like gold and silver.

Furthermore, analysts from Deutsche Bank noted that US spot Bitcoin ETFs saw outflows of more than $3 billion in January, following inflows of $2 billion and $7 billion in December and November.