Thought Leadership
With the election of Donald Trump, golden crypto times seemed to be dawning. However, since his inauguration, the Bitcoin price has mainly been moving downwards – partly due to the spectacular Bybit hack.
The cryptocurrency Bitcoin has lost almost 20% of its value in US dollars since its all-time high when US President Donald Trump took office. From Monday to Tuesday, the Bitcoin price fell below the threshold of 90,000 US dollars and temporarily landed at around 87,600 US dollars. In the past five days alone, Bitcoin has lost almost 9 percent of its value.
Bitcoin rose to its previous record high of USD 109,356 on the day of Donald Trump’s inauguration as US president on January 20. Since then, the price has fallen almost continuously.
The digital currencies from the second tier, Ethereum and Solana, also fell sharply. Ethereum fell by 12.7% compared to the previous day to USD 2,380, while Solana plummeted by 14.8% to USD 136.
Rapid rally halted
Before the Republican’s election victory, Bitcoin was still trading at around 70,000 dollars. Investors were hoping that the election winner Donald Trump would implement crypto-friendly regulation. However, some expectations have been disappointed since he took office. For example, Trump has not yet set up a national Bitcoin reserve in the US government budget, which many Bitcoin supporters had hoped for.
Trump’s comments on his economic policy have recently depressed the mood. The US president said on Monday that the planned punitive tariffs against Mexico and Canada would “move forward”. As a result, the stock and crypto markets fell.
Probably the biggest crypto coup of all time
The prices of digital currencies are also being weighed down by a spectacular crypto theft – probably the biggest crypto coup of all time: Last Friday, cyber criminals managed to illegally siphon off digital money worth 1.5 billion US dollars from the service provider Bybit. Those responsible at Bybit were deceived during a routine transaction so that the funds did not end up in a Bybit vault but were redirected to an unknown address. The hack resulted in the theft of 401,000 Ethereum currency units.
dpa
