Bitcoin Falls Below $90,000 Amid Series of Negative Events

Inflation Concerns, Meme Coin Scandals, and Hacking Incidents

"Expected to Move Independently from Tech Stocks for Now"

Bitcoin fell to as low as $88,000 on the 25th (local time) in Asian and European markets, its lowest level since mid-November, as the impact of cryptocurrency exchange hacking incidents continues.

As of 8:50 AM in the London market on the 25th, Bitcoin, the world's largest cryptocurrency by market capitalization, is trading at $89,700. Earlier in the morning, it had dropped to the low $88,000s.

Ether, which suffered a $1.5 billion hacking theft at cryptocurrency exchange Bybit last week, plunged as much as 11% to $2,333, its lowest since October. Other coins including Ripple and Solana also experienced sharp declines.

According to CoinGlass data, over $1.34 billion in cryptocurrency long positions were liquidated in the derivatives market over 24 hours.

While Bitcoin initially surged following Trump's election, it has fallen nearly 20% since Trump took office in January, affected by his tariff threats and rising inflation concerns.

Adrian Przelozny, CEO of cryptocurrency exchange Independent Reserve, pointed out that "Bitcoin's decline is related to macroeconomic uncertainty and Trump's announced tariff threats."

Recent credibility issues surrounding cryptocurrencies have also acted as a major negative factor.

The launch of meme coins by companies owned by Trump and his three sons following his election, along with Argentine President Milei's meme coin scandal, have decreased confidence in cryptocurrencies.

According to CoinGecko data, Trump's meme coin has crashed over 80% from its peak immediately after launch.

Additionally, last weekend's record-breaking cryptocurrency exchange hacking incident involving Ripple has again highlighted trust issues with exchanges.

Particularly, the Bybit hack has amplified concerns about digital asset platform security. Hackers, whom analysts link to North Korea, stole approximately $1.5 billion worth of Ether in last week's attack and reportedly began laundering it quickly. Researchers noted that this cryptocurrency incident demonstrates the increasing sophistication of North Korea's hacker army.

According to Bloomberg, digital assets like Bitcoin have begun moving differently from tech stocks due to these factors.

Caroline Moran, co-founder of Orbit Markets, which provides liquidity for cryptocurrency derivatives, said "The Bybit hacking incident, following suspicious meme coin launches, has brought back unfortunate memories for digital asset market participants."

Jung-ah Kim, Contributing Writer kja@hankyung.com