Bitcoin Price Drops to Lowest Level Since Donald Trump Took Office
Bitcoin, the world’s largest cryptocurrency, has fallen to its lowest price point since President Donald Trump took office in January 2025. The digital currency briefly dropped to around $60,000 (£44,000) per coin—the lowest level since September 2024—before a slight recovery. This recent decline marks a significant shift following the cryptocurrency’s meteoric rise, which saw Bitcoin reach an all-time high of $122,200 in October 2025. ### Market Context and Investor Reaction
The fall in Bitcoin’s price follows a sustained period of volatility and a 32% decline over the past year. Investors who heavily leveraged their positions or assumed continuous price growth are now confronting the realities of market fluctuations. Joshua Chu, co-chair of the Hong Kong Web3 Association, emphasized to Reuters that those who "bet too big, borrowed too much or assumed prices only go up" are now learning about risk management amid genuine market volatility.
Bitcoin’s value slide comes despite the enthusiastic backing of President Trump, who has been a vocal proponent of cryptocurrencies. Upon his return to the White House in January 2025, Trump issued an executive order aiming to position the United States as the "crypto capital of the planet." The administration also passed legislation supporting crypto, dissolved a Department of Justice enforcement team focusing on cryptocurrency, and eased regulatory scrutiny through the Securities and Exchange Commission.
Trump’s involvement extended to launching his own personal cryptocurrency brand, with profits funneled to his business ventures, and maintaining investment ties with World Liberty Financial, a Trump family-owned crypto asset firm.
Regulatory and Political Dynamics
Despite Trump’s bullish stance on cryptocurrencies, some Democrats have criticized his administration’s approach. Members of the Senate Judiciary Committee highlighted concerns over the president’s "pro-crypto agenda," pointing to his substantial cryptocurrency holdings valued at over $11 billion and personal income of $800 million from crypto transactions since taking office.
At the same time, regulatory and market signals have contributed to growing uncertainty. Deutsche Bank analysts noted that Bitcoin’s recent slump was partly triggered by Trump’s nomination of Kevin Warsh as chair of the Federal Reserve. Warsh is expected to pursue a "hawkish" monetary policy, likely maintaining higher interest rates. Traditionally, looser monetary policies stimulate speculative investments, including cryptocurrencies, so higher rates tend to dampen enthusiasm.
Cryptocurrency Market Trends
Bitcoin is not alone in experiencing declines. Other major cryptocurrencies such as Ethereum and Solana have each fallen by roughly 37% in 2026. According to CoinGecko, the overall cryptocurrency market has lost over $1 trillion in value over the past month and has declined $2 trillion since peaking in October 2025. Some analysts interpret these movements as signs of maturation within the cryptocurrency market. William Barhydt, CEO of Abra Capital Management, described Bitcoin’s evolution as shifting from a "purely speculative asset" toward a more established role in the financial ecosystem. Although he anticipates some price rebound, he cautioned that unforeseen events like geopolitical conflicts could alter this outlook.
Meanwhile, investment firm Stifel warned that Bitcoin prices could plummet further, potentially hitting $38,000. The firm also observed a new trend in which cryptocurrencies are starting to track the US dollar’s value more closely—posing fresh challenges for the market after the dollar recently reached its lowest point in four years.
Cryptocurrencies in the UK
In the UK, interest in cryptocurrency investment appears to be waning, according to the Financial Conduct Authority (FCA). In 2025, approximately 8% of UK adults invested in cryptocurrencies, down 4% from the previous year. However, the FCA noted that those who remain engaged tend to hold larger amounts, with one in five investors possessing between ÂŁ1,000 and ÂŁ5,000 in digital assets.
The recent Bitcoin price drop underscores the sector’s volatility and the complex interplay of political support, regulatory changes, and market sentiment affecting digital currencies worldwide. As cryptocurrencies mature, investors continue to navigate a landscape defined by both opportunity and uncertainty.
This article is based on reporting from the BBC and Reuters as of early 2026.